Read the fine print on home warranties

Q: What do you think of these home warranties for women like us who can’t fix a darn thing? — The Girls in Philly

A: I’d say, read the fine print very carefully.Home warranties are service contracts that cover repairs to a home and/or appliances and other equipment inside the home. Much like car insurance, the homeowner pays a fee (usually each year) against the possibility of an appliance breakdown, a plumbing issue or other household damage.

When or if a problem occurs, the homeowner calls the home warranty company, which sends a repairman or contractor to the house to fix or replace the broken item.

This is not a bad idea for the homeowner who isn’t hot on do-it-yourself projects. However, like any product or service, caveat emptor (let the buyer beware) is the watchword here. Research home-warranty providers carefully.

Ask other homeowners if they have a home warranty, and about their experiences with repair services through these providers.

Always get a price quote from the provider. Ideally, get quotes from as many providers as possible. Then, compare them.

Home warranties cover specific items based on the type of warranty you purchase, the square footage of your home and the age of the house, among other things. Look specifically for exclusions from coverage.

Ask the warranty provider any and all questions that come to mind. If an outside contractor works on a broken item, is the item still covered? Can you even call in an outside contractor? Are there additional fees for certain specialist contractors? What if you’re not happy with the repair? What legal recourse do you have?

So, while a home warranty can be a good expense, do your homework carefully to get the best coverage.

HOME TIP: Most home-warranty providers charge an additional trade service fee (about $100) when a contractor is sent to repair something in your home — a small additional expense, but one you should be prepared for.