Paid $300 for a warranty on my water heater and found out it doesn't cover the most common failure points

The fine print excluded the thermostat and heating elements so I ended up spending another $150 on parts anyway, anyone else get burned by these home warranty policies on appliances that always seem to have an exception?

2 comments

2 Comments

danielb4320d ago

My uncle Tom had the exact same problem with a Sears warranty back in 2018 on his washing machine, they didn't cover the drum bearings which is the one thing that always breaks. But honestly, you kind of have to look at it from their side for a second, these companies aren't charities they're businesses trying to make money and they can't cover every single little thing or they'd go under. The average homeowner probably saves way more than they lose if you look at the overall numbers across all policies, your one bad experience doesn't mean the whole system is a scam. Plus there's always the chance you get a lucky break where something huge fails like the whole tank bursting and then you're glad you had that warranty sitting there. I say just read the fine print more carefully next time and don't expect every single part to be covered, that's on you for not checking.

hugo_bennett20d ago

Respectfully, I gotta disagree with that take. Home warranties are basically a gamble where the house ALWAYS wins. I've seen too many stories where they find any excuse to deny coverage, like claiming a ten year old water heater has "pre-existing wear" or some vague nonsense. Sure, they're businesses, but that doesn't mean their business model isn't built on selling false peace of mind. Most people don't save money in the long run because the deductibles stack up and the covered repairs are the cheap ones anyway. And that "huge tank bursting" scenario? Half the time they'll fight you on that too, saying it was improper installation or something. It's less about reading fine print and more about realizing the whole thing is structured so you lose more often than not.