Home warranty research
The benchmarks: annual premiums average around $600 with a typical range of $400 to $700 and a full range of $300 to $1,000; service call fees run $75 to $125 per dispatch; add-ons run $2 to $40 a month. Legally these are service contracts, regulated at state level by agencies that differ from state to state.
Price benchmarks by plan, annually: roofing $350-$600, appliance protection $400-$500, systems protection $400-$600, basic protection $400-$600, total protection $450-$900. Monthly equivalents $25-$100. Separately, 10-year structural warranties on new construction run $500-$1,500.
Add-on benchmarks, monthly: second refrigerator $2-$4, well pump $8-$10, roof leaks $8-$10, HVAC maintenance $10-$15, electronics $15-$20, pool/spa $20-$40, guest units $25-$30.
Legal framework. Federally, a service contract is "a contract in writing to perform, over a fixed period of time or for a specified duration, services relating to the maintenance or repair (or both) of a consumer product." State law adds specifics: California defines a home protection contract as covering repair or replacement "necessitated by wear and tear, deterioration or inherent defect," and prohibits furnishing such contracts without charge.
Dispute resolution. Binding arbitration clauses are common and the Federal Arbitration Act makes written arbitration provisions in contracts involving commerce "valid, irrevocable, and enforceable, save upon such grounds as exist at law or in equity for the revocation of any contract." That's the legal backdrop to every denied-claim dispute in this category.
Choosing home warranty what the data says
The judgement calls that decide the bill, before anyone quotes you.
- Compare against the $400 to $700 typical band A quote far outside it should prompt a question about what's different - usually caps.
- Always add service fees to premium comparisons $75 to $125 per dispatch is a large fraction of a $400 to $900 annual premium.
- Treat add-ons as separate products $2 to $40 a month each, each with its own caps and exclusions.
- Look up your state's specific rules The legal definition and the regulator both vary. California's statute is illustrative, not universal.
- Assume arbitration applies unless the contract says otherwise It's the default in this category and it's enforceable.
All home warranty research
Home Warranty Complaint Index
Claim Denial Rate Data
Home Warranty Pricing Index
State Regulation Tracker
Where these figures come from
Sources last checked
- Fixr - Home Warranty Cost · retrieved 2026-07-26
- 15 U.S.C. § 2301 - service contract definition · retrieved 2026-07-26
- California Insurance Code § 12740 · retrieved 2026-07-26
- California Insurance Code § 12761 · retrieved 2026-07-26
- 9 U.S.C. § 2 - Federal Arbitration Act · retrieved 2026-07-26
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