Home Warranty: Frequently Asked Questions


What is a home warranty?

A home warranty is a one-year contractual guarantee that should certain appliances or mechanical systems fail due to normal wear and tear during the coverage period, those items will be repaired or replaced, subject to a small deductible.

How is a home Warranty different than homeowner’s insurance?

Homeowner’s insurance and a home warranty work hand in hand. If you have a pipe break in your home, your homeowner’s insurance would pay to replace your carpeting or paint your walls. It repairs the damage done from the broken pipe. But your homeowner’s insurance doesn’t pay the plumber to fix the broken pipe; your home warranty takes care of that for you.


What is covered under my HOME WARRANTY?

Coverage varies depending on where you live. Items available for coverage typically include: central air conditioning systems, central heating systems, kitchen appliances, clothes washer and dryer, plumbing system, electrical system and roof leaks. Many of these items are included in the standard plan of the warranty.


How is this different from a manufacturer warranty?

In new homes, the manufacturer warranty covers the failed part but not the necessary labor for proper repair or installation after the first year of ownership. If your appliances have a manufacturer warranty on them, a home warranty may help provide the peace of mind manufacturer warranties don’t by covering both parts and labor. Plus, the cost of individual manufacturer warranties can be very high; with HSA Home Warranty and HMS Home Warranty you have one low premium and one number to call for service.


Do I need a home inspection before I enroll?

No. Neither HSA or HMS Home Warranty require a home inspection in order to enroll for a home warranty, however, it is recommended.


How much is a home warranty?

The cost of coverage varies from state to state. See HSA’s coverage and cost page  or HMS’s coverage and cost page for a complete description of the warranty product and its cost for your area.


When does coverage begin?

If you purchase the home warranty at the time you are buying a home, coverage begins the day of the closing.  If you are not involved in a real estate transaction and are purchasing a plan, coverage begins 15 days after payment is received by HSA or 30 days after payment is received by HMS.


How long does the Home Warranty coverage last?

Both Home Warranty contracts are in effect for 12 months.


What happens if I SELL MY HOUSE while an HSA warranty is in effect?

Any remaining coverage will transfer to the new buyer as of the date of closing at no additional cost (where permitted by law). The buyer will be covered for the remaining months left on the contract. For example: If you have 10 months of coverage remaining at the time of closing, your buyer would be covered for 10 months. The buyer will also have the option to renew at the end of the original contract term. You can also decide to renew early in order to provide the additional coverage to your buyer. If you would like to provide a full 12 months of coverage to the buyer, you can add the remaining difference at closing. It’s up to you!  Simply call HSA at 1-800-367-1448 and notify them of the closing date and the buyer’s name. For security purposes, we ask that you send us a copy of the settlement statement to prove transfer of ownership. You can fax it to 1-877-638-1741.

What happens if I SELL MY HOUSE while an HMS warranty is in effect?

The seller home warranty converts to a Buyer Conversion Warranty on the date of closing (title transfer), provided that the required payment has been received within 7 business days of the closing.



For more questions about home warranties, ask your Real Estate Agent or visit the HSA Home Warranty website or HMS Home Warranty website.


AskHomesale.com provides real estate advice and information for home buyers, home sellers, and homeowners alike. Askhomesale.com is part of the Homesale Realty Family. The Homesale Family of Companies is the leading real estate company serving the Baltimore, Maryland, South Central and Southeastern PA real estate markets.  Homesale Realty has more than 27 offices with over 1,200 REALTORS®. Homesale Realty’s footprint includes Maryland real estate offices in Baltimore Metro, Federal Hill,  Harbor EastPhoenix, Timonium, and Westminster. Pennsylvania real estate offices include Lancaster,Ephrata,Elizabethtown, Mt Joy, Quarryville, Camp Hill,Carlisle,Chambersburg,Harrisburg,Hershey, Lebanon, Schuylkill Haven,Wyomissing, York,Dallastown,Gettysburg,Hanover, and Shrewsbury.

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