Difference Between Home Insurance and Home Warranty

A home is one of the biggest investments a person makes in their lifetime, which is why its safety and protection are everyone’s priority. There are multiple ways of protecting your home, including home insurance and home warranties.

Home insurance and home warranties are two different things, but many people don’t understand the difference between them. In this blog, let’s take a look at both.

What is Home Warranty?

A home warranty is a service or replacement contract that helps a person finance any home repairs or replacements. You can apply for a home warranty for a variety of things, like your house’s foundation, appliances, furniture, and more. All of these things will be predefined in your contract, and you can finance their repairs/replacement until the contract lasts.

What is Home Insurance?

Home insurance is a policy that pays for any damages to your house directly. These damages include all potential threats to your house, like theft, burglaries, vandalism, natural disasters, or any other damage that needs to be fixed immediately.

Home insurance policies also have liability insurance, which covers medical expenses of you or anyone else in your house injured or faced with any possession loss. It also covers legal and lawyer fees if a lawsuit is filed against the policyholder.

Is Home Insurance Better than Home Warranty?

Although both help you pay or finance costs for repairs or replacement, home insurance is generally more popular and is considered a better option. This is because home warranties don’t provide as much coverage as home insurance, like liability insurance, coverage of valuable possessions, etc.

Moreover, in many states, having homeowner’s insurance is mandatory, making it a more obvious choice for people when it comes to protecting their homes.

A stack of coins and a 3D model of a house

If you’re planning to get home insurance for your home in Springfield, make sure you get your policy from Western Mass Auto Insurance.

We are a trusted and renowned insurance provider in Springfield and offer home insurance policies customized according to your needs. Furthermore, we also offer other types of insurance policies, like auto insurance, commercial auto insurance, life insurance, and more.

Get in touch with us now for further details.