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American Residential Warranty Reviews For 2021

Dan Rafter9-minute read

September 03, 2021

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What would happen to your savings if your refrigerator suddenly went on the fritz, and you had to shell out the dollars to repair it? What if your central air conditioner broke down during the hottest stretch of the summer? Would a technician call put a dent in your emergency fund?

If so, you might consider investing in a home warranty. Home warranties pay out when covered appliances or systems – everything from your dishwasher and stove to your plumbing and ductwork – conk out or need major repairs. You pay a monthly fee for this protection. It’s a way to give yourself a financial safety net in case one of your appliances or home systems needs expensive repairs or replacement.

If you’re considering a home warranty, you might investigate American Residential Warranty, one of the larger providers of home warranties serving the United States.

But how do you know if American Residential Warranty is the right service for you? And how can you be sure it will pay out for the appliances and systems you most want covered?

To help you make a decision on whether this company is the one for you, here’s a look at how American Residential Warranty’s home warranties work, what they cover, what you might pay and what other customers say about them.

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American Residential Warranty Overview

Customization. That's what American Residential Warranty – also known as ARW – focuses on. It's why the company offers seven different home warranty plans, so you can customize your coverage to fit your specific needs. ARW sets itself apart from its competitors by offering so many plans.

As with all home warranty providers, you'll pay a monthly fee for your plan. The amount of that fee depends on which plan you select. One of ARW's more comprehensive plans, the Platinum Premier, costs $59.99 a month. Its less extensive Kitchen Plus plan, which doesn't cover as many appliances or systems, costs $34.99 a month.

You'll also pay what ARW calls a trade service fee every time you call for service. You'll pay this fee – $55 – to your service technician whenever you need a repair or maintenance. Consider it a type of deductible: You pay the service fee first, and then ARW will pay for covered repairs or maintenance, up to the limit specified in your contract for each appliance or home system in your plan.

For instance, ARW will cover up to $1,000 a system per 12-month period for central air conditioning systems, home heating systems, built-in microwave ovens and water heaters. ARW will provide up to $500 per appliance or system during a 12-month period for items such as stovetops and refrigerators. As long as you don’t go over these limits, your home warranty will cover the costs of repairing or replacing these items.

Plans 

American Residential Warranty offers more warranty plans than do most of its competitors. The company offers seven in all, tailored to the different budgets and needs of homeowners. Here is a breakdown of each of ARW’s seven plans.

  • Heating And Cooling: The Heating And Cooling Plan, which costs $39.99 a month, covers a home's central air conditioning, central home heating, humidifier and interior electrical systems. You can also add coverage for your home's washer and dryer units at an extra charge. This plan makes sense for homeowners most concerned about the age or reliability of their residence's heating and cooling systems.

  • Kitchen Plus: This plan costs $34.99 a month. As its name suggests, its best for owners most concerned about paying for repair or maintenance of the appliances in their homes' kitchens. This plan covers a home's interior electrical system, refrigerator, range/oven/cooktop, dishwasher, built-in microwave, garbage disposal, kitchen exhaust fan and water heater. You can add coverage for your home’s washer and dryer at an extra cost.

  • Platinum: This plan, at $49.99 a month, covers a wider range of appliances and systems. This includes your home's central air conditioning, central home heating, humidifier, interior electrical system, refrigerator, range/oven/cooktop, dishwasher, built-in microwave, garbage disposal, kitchen exhaust fan and water heater. Again, you can add coverage for your washer and dryer, but it will cost you extra. This is a good choice for homeowners who want to cover a wider array of appliances and systems.

  • Platinum Premier: This plan, for $59.99 a month, covers the same items that the Platinum Premier plan covers. But it also adds coverage for your home's ductwork, garage door opener, refrigerator ice maker and ceiling fans. You can add coverage for your home's plumbing system and plumbing stoppages at an extra charge. This plan might be a bit more expensive, but it does offer more comprehensive coverage.

  • 3-In-1 Bundle: At a higher $109.99 a month, the 3-in-1 Bundle Plan covers everything the Platinum Premier plan does but includes the Deluxe Advantage and Ultimate Electronics Protection packages. The Deluxe Advantage package includes coverage of A/C refrigerant and coils; refrigerant recapture; plumbing faucets and fixtures; permits, modifications and code violations; toilets and internal mechanisms; improper installation; and garage door springs and tracks. The Ultimate Electronics Protection package includes coverage for flat-screen TVs; home theater systems; desktop and laptop computers; tablets; gaming consoles; printers; routers; and hand-held gaming devices. If you have a lot of expensive electronics in your home, this plan might be a good choice.

  • 4-In-1 Bundle: The most expensive of ARW's plans, the 4-in-1 Bundle, costs $124.99 a month. It includes everything you get in the 3-in-1 Bundle plus coverage for sewer and water lines. This plan is best for homeowners who want the most protection and are willing to pay extra for it.

  • Ultimate Electronics Protection: While the Ultimate Electronics package mentioned above comes with ARW’s 3-in-1 and 4-in-1 bundle packages, you can also pay for it separately without signing up for either of those plans. If you do, it will cost you $24.99 a month.

Coverage

Here is a quick look at how the six main ARW plans compare, focusing on the home appliances and systems they cover.

 

Heating And Cooling

Kitchen Plus

Platinum

Platinum Premier

3-in-1 Bundle

4-in-1 Bundle

Central air conditioning

**

_

**

**

**

**

Washer and dryer

**

**

**

**

**

**

Central home heating

**

_

**

**

**

**

Humidifier

**

-

**

**

**

**

Interior electrical system

**

**

**

**

**

**

Refrigerator

-

**

**

**

**

**

Range/oven/cooktop

-

**

**

**

**

**

Dishwasher

-

**

**

**

**

**

Built-in microwave

-

**

**

**

**

**

Garbage disposal

-

**

**

**

**

**

Kitchen exhaust fan

-

**

**

**

**

**

Water heater

-

**

**

**

**

**

Plumbing system

-

-

-

**

**

**

Plumbing stoppages

-

-

-

**

**

**

Ductwork

-

-

-

**

**

**

Garage door opener

-

-

-

**

**

**

Refrigerator ice maker

-

-

-

**

**

**

 

Ceiling fans

-

-

-

**

**

**

Deluxe Advantage package

-

-

-

-

**

**

Ultimate Electronics package

-

-

-

-

**

**

 

Sewer and water lines

-

-

-

-

-

**

Cost

Home Warranty plans aren’t free. Here is a quick look at the costs of ARW’s warranty plans to help you determine which plan best fits with your budget.

Plan

Monthly Premium

Heating And Cooling

$39.99

Kitchen Plus

$34.99

Platinum

$49.99

Platinum Premier

$59.99

3-in-1 Bundle

$109.99

4-in-1 Bundle

$124.99

 

Add-Ons

ARW offers add-on coverage options for homeowners. By paying an extra fee each month, owners can add these extra coverages to their warranties.

Add-ons include coverage for a second refrigerator or freezer, payouts to cover the costs of spoiled food if a refrigerator shuts off, payouts to cover the costs of digging up a well pump and coverage for pools and spas.

American Residential Reviews

What do others think of ARW and its service? Here are some reviews from across the Internet.

Better Business Bureau

The Better Business Bureau gives American Residential Warranty a rating of A+, meaning that the bureau has found the company to be responsive to customer complaints. Customers were not as generous, though. ARW earned a rating of 3.83 stars out of five based on 297 customer reviews. Those customers who had complaints cited delays before service technicians arrived at their homes and insufficient coverage for more expensive appliances and systems. Those who praised the company pointed to its quick response to claims and its large network of licensed contractors.

ConsumerAffairs

ARW has a rating of 4.4 stars out of five based on 480 customer reviews at ConsumerAffairs. The site praises ARW for letting customers choose their own contractors. Other benefits? ARW doesn't require long-term contracts, serves all 50 states and offers a stand-alone electronics protection package. On the downside, ConsumerAffairs said that ARW doesn't provide enough coverage for more expensive items.

TrustPilot

TrustPilot gives American Residential Warranty a rating of “Excellent.” Customers who reviewed American Residential Warranty cite the company's low service fee and fast service. Those who gave the company negative reviews said that it took too long for technicians to arrive at their homes or that coverage limits were too low for some appliances or home systems.

Why We Like American Residential Warranty

There are plenty of reasons to like the service provided by ARW, including low service fees, 24-hour service and the flexibility that comes with so many warranty plans. Here are some of the reasons why we recommend this home warranty provider.

Guarantees Service Repairs For 30 Days

ARW guarantees repairs and replacements for 30 days. If a technician fixes your refrigerator and then it conks out again 15 days later, ARW will cover the costs of fixing that appliance again, even if another visit by a technician would have pushed you past your coverage limits on that refrigerator.

Allows Customers To Use Their Own Contractor

With ARW, you can request service from a contractor with whom you’ve worked in the past. This gives you the option to work with a service technician you already trust. You can also select a contractor from ARW’s own network of licensed technicians.

Offers 24-Hour Customer Support 

You can file a claim with ARW 24 hours a day, 7 days a week. This is convenient. Remember, though, just because you can file a clam at 2 a.m. doesn’t mean that a service technician will arrive at your home at that hour. Most plumbers, electricians and other contractors work normal business hours.

Lower Service Fees 

All home warranty companies charge service fees, the charge you’ll pay whenever a service technician comes to your home to replace or repair a malfunctioning home system or appliance. ARW, though, charges a lower service fee than its competitors: $55.

American Residential Warranty FAQs

How do American Residential home warranties work?

When a home system or appliance breaks down, you’ll file a claim with ARW. ARW will then send a technician to your home. This service technician will determine whether the system or appliance needs to be repaired or replaced. You’ll pay a service fee to the technician and ARW will cover the costs of the repair or replacement up to the coverage limits spelled out in your home warranty.

Does American Residential Warranty charge a deductible for service or repairs?

Every time you call for a repair, ARW charges a service fee of $55 that you pay directly to your technician. Because ARW offers home warranties and not homeowners insurance, the company does not charge deductibles. The service fee, though, does act much like an insurance policy’s deductible: You pay the service fee before ARW’s coverage kicks in and covers the rest of your repair or replacement costs.

Are there limits on repairs and replacements?

You can call for service as often as you’d like. ARW does not restrict you to a certain number of service calls a month. The number of service calls you make during a month will also not cause your monthly fee to rise. There are limits, though, to how much ARW will pay out to repair or replace appliances or systems covered by your plan. Contact ARW to find out how much coverage the company provides for each covered item.

What happens if a covered appliance or system cannot be repaired?

There might be times when a home system or appliance covered by your ARW home warranty can’t be repaired. The item might be too old or too damaged. In these cases, ARW will provide you a payout to help replace the item with a new version.

How do you cancel an ARW policy?

ARW says on its website that it does not require customers to sign written contracts. As the site says, you can keep your coverage for as long or as little as you’d like. To cancel your warranty, start by calling ARW at (888) 378-2606.

The Bottom Line

A home warranty plan can provide financial protection when your home’s more expensive appliances and systems break down. The challenge lies in determining which home warranty, if any, makes sense for you. This depends on the age of your home’s systems, how well you’ve maintained your appliances and how big of an emergency financial fund you’ve built up. It also helps to learn more about the best home warranty companies and the plans they offer.

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Dan Rafter

Dan Rafter has been writing about personal finance for more than 15 years. He's written for publications ranging from the Chicago Tribune and Washington Post to Wise Bread, RocketMortgage.com and RocketHQ.com.