How Does Home Insurance Differ From a Home Warranty

When it comes to safeguarding your home, it’s easy to confuse home insurance with a home warranty. While both provide homeowners with a sense of security, they serve distinct purposes. At West Texas Insurance Agency, serving the greater Amarillo, TX, region, we aim to help you understand the key differences.

What Does Home Insurance Cover?

Home insurance protects you financially from unexpected events that could damage your home or belongings. It acts as your safety net for significant incidents like fire, theft, storms, or vandalism. It even provides liability coverage if someone gets injured on your property. For instance, if a hailstorm damages your roof or a pipe burst and floods your home, your home insurance policy can help cover the repair or replacement costs.

What Does a Home Warranty Cover?

Unlike home insurance, a home warranty is a service contract that helps cover the cost of repairing or replacing major appliances and systems in your home. This includes heating and cooling systems, plumbing, or your refrigerator. A home warranty typically covers wear and tear, while home insurance covers unforeseen disasters.

For example, a home warranty may cover the repair if your water heater breaks down due to age. However, home insurance will cover it if it is damaged in a fire.

Do You Need Both?

While home insurance is essential, a home warranty is optional. However, both can work together to provide comprehensive protection for your home. For expert advice on home insurance, contact West Texas Insurance Agency, providing home insurance in and around Amarillo, TX, today. We’ll help you find the best coverage to secure your home and peace of mind.