Founded in 1999, America’s Preferred Home Warranty offers different warranty plans so that customers can make claims to repair or replace covered home appliances or systems. This company has accreditation from the Better Business Bureau (BBB) with higher ratings compared to other home warranty companies. However, one major concern is that there isn’t a payout guarantee on repair work. 

To help you make an informed decision, we looked at plans, pricing, coverage limits, and the ability to choose your own contractor compared to other home warranty companies.

Learn More: Read who made our list of the best home warranty companies.

Investopedia is committed to providing our readers with unbiased product recommendations. We may receive compensation when you click on links to products, but this doesn't affect how we rate, review, and rank them.

Pros
  • Available nationwide

  • Ability to choose your own contractor

  • Offers hotel benefits if you’re required to leave your home to complete covered repairs

Cons
  • Since the contractor works for you, there is no guarantee on a payout from America’s Preferred Home Warranty

  • Large number of caps and payout limitations

  • Washer and dryer coverage not standard in plans

Company Overview

America’s Preferred Home Warranty, founded in 1999, is headquartered in Jackson, Michigan, and offers home warranty coverage for single-family homes, condos, new construction, townhouses, and multi-family units for individuals. There also are plans for real estate professionals. America's Preferred Home Warranty lets you choose the licensed contractor you'll use for your repairs, one of the few companies to do so. 

Available Plans

There are two main plans available: standard coverage and the preferred upgrade—both of which have a 30-day waiting period after purchase. The standard plan offers basic repair coverage for items such as your built-in microwave, garage door opener, heating system, and central vacuum. The preferred upgrade gives you an extended range of parts and repairs not only on items in the standard plan but also in many items beyond the scope of the standard plan, such as dishwasher baskets, microwave linings, garage door opener keypads and transmitters, and coverage for the cost of a crane to install a new central air unit. 

Each coverage plan offers different pricing tiers based on your trade service fee—$50, $100, or $125. A trade service fee (TSF) is an amount you’ll need to pay when you make a claim and hire a licensed contractor to come to your home. America's Preferred Home Warranty's lowest trade service fee is lower than industry standards. 

There are optional upgrades which include water softener systems, jetted bathtubs, washer and dryer, pool, and spas.  

Real Estate Plans

America’s Preferred Home Warranty offers real estate professionals a mobile app called Real-Pro®. This app allows real estate professionals to purchase, maintain, manage, and renew multiple warranty contracts. Realtors or brokers can also get a quote using America’s Preferred Home Warranty's online form or by calling 855-806-6678.   

Plan Pricing

America's Preferred Home Warranty offers different pricing plans depending on the trade service fee (TSF) you choose—either $50, $100, or $125. The pricing is in line with other home warranty companies offering the same types of trade service fees. Although the 30-day waiting period is in line with industry standards, the basic plan doesn’t offer washer and dryer coverage, which is often a standard coverage with many competitors. 

Plan Exclusions

There is a detailed list in America’s Preferred Home Warranty’s sample contract which outlines what is and isn’t included. Items not covered include outside or underground piping and service calls where uncovered defects are found, in addition to other exclusions.

For example, free-standing range stoves are covered, but not for glass or ceramic cooktops. Connecting water lines for water softeners is covered, but not for repairs due to insufficient or excessive water pressure. 

Payout Caps and Limitations

A payout cap is the maximum amount a home warranty pays for work being repaired or serviced—the rest you’ll need to pay out of pocket. There is a long list of payout caps and limitations for America’s Preferred Home Warranty. Overall, the policy’s maximum aggregate liability is $25,000, slightly higher than industry standards. 

Here’s are some more specific limitations:

Repair Time

Policyholders can pick their own licensed contractor after approval from America’s Preferred Home Warranty. Once approved, you are responsible for calling the contractor to initiate and schedule repairs. The company doesn’t explicitly state how long it’ll take to get approval or if there’s an expedited service for emergency calls. 

Customer Service and Claims

There is 24/7 customer service support via email, the online contact form, or phone at 800-648-5006.

To start a claim, you’ll need to fill out an online form and receive a claim number. You are then responsible for calling a licensed contractor to diagnose the issue. Once the contractor is on-site, you need to call claims back to receive approval over the phone or you risk the claim being denied. If approved, the contractor can start work. Remember, there is no guarantee of coverage, so it is best to contact the company first with as much detail as possible to better your chances of getting a claim approved.

Complaints and Third-Party Assessments

As a BBB-accredited service company since 2010, America’s Preferred Home Warranty has an A+ rating with an average of three (out of five) stars. There are 151 customer reviews and 159 customer complaints, with most of the comments in regard to America's Preferred Home Warranty not paying for repairs or the replacement of equipment as stated in the policy.  

Competition

To help you compare home warranty providers, we chose American Home Shield since it offers policyholders nationwide coverage and choices between different trade service fees. 

Although it seems like American Home Shield costs more, there are some advantages to choosing this company. For one, there is more flexibility to choose different coverage options. Although you aren’t able to hire your own contractor, one key advantage of American Home Shield is that completed work is guaranteed for 60 days. 

Both home warranty companies offer similar payout caps and trade service fees, but given the work guarantee and options for coverage, American Home Shield is the overall winner. 

Our Verdict

Use America’s Preferred Home Warranty if you are a consumer who wants the ability to choose their own licensed contractors with more budget-friendly options by choosing a higher trade service fee. However, those who are uneasy about the fact that repairs aren’t guaranteed or don't want the responsibility for finding a reputable contractor should look elsewhere. 

Get a Quote from America’s Preferred Home Warranty.

How We Review Home Warranties

When evaluating a company’s warranty plans, we not only look at the monthly cost, but the overall costs, including service fees, price of add-ons, and out-of-pocket costs. In addition, we also measure how they stack up to the competition in price, coverage options, and customer satisfaction.

America’s Preferred Home Warranty Key Facts