This video will explain what a home warranty is. A home warranty is a residential service contract that covers the cost of maintaining household systems or appliances for a set period of time. Home warranties cover expected events, like when aging appliances break down, and are often advised when purchasing an older home. Learn how warranty companies work with home service providers, like plumbers or electrical contractors, to assess, repair, or replace damaged systems and appliances. Understand coverage, exclusions, and additional fees associated with some service items, like pools and septic systems.