Does A Home Warranty Cover Water Heater Replacements?
Water heaters are the unsung heroes of any home. They work quietly behind the scenes, heating water for showers, washing dishes, and keeping your morning coffee warm. But when a water heater breaks down, it can quickly turn into a major headache. Does a home warranty cover water heater replacement? Or will home warranty replace water heater units altogether?
These questions pop up a lot, and the answers can be a bit tricky. Home warranties vary widely, and what’s covered depends on your plan, the age of your water heater, and sometimes how the damage happened. Let’s break down how water heaters fit into home warranty coverage and what to expect when yours acts up.
Water Heaters and Home Warranty: What’s the Deal?
Most home warranty plans do include water heaters in their list of covered appliances and systems. This means if your water heater stops working due to normal wear and tear, your warranty could cover repair costs and sometimes even a replacement.
However, coverage for water heaters isn't a one-size-fits-all situation. Some plans cover only certain types of water heaters, like traditional tank models, while others might include tankless or solar heaters only as an add-on. Also, warranty providers might have rules about how old your water heater can be to qualify for coverage.
The main idea is that home warranties usually aim to save you from expensive repair bills for major household systems and appliances. Since water heaters can cost a pretty penny to fix or replace, having warranty coverage can be a relief when something goes wrong.
What Triggers Water Heater Replacement Under a Warranty?
Water heaters can fail for many reasons. Rusted tanks, broken heating elements, faulty thermostats, or leaks might all make your unit stop producing hot water. Most home warranties cover breakdowns caused by mechanical failure or normal wear and tear.
If a repair is possible and cost-effective, the warranty company will likely send a technician to fix the issue. But if the water heater is too damaged or beyond repair, a replacement might be on the table.
Some warranties have clauses limiting replacement if the water heater has reached a certain age, like 10 or 12 years. This is because older units are more likely to break down frequently and can be costly to maintain.
When Does a Home Warranty Decline Water Heater Replacement?
You might be disappointed if your water heater’s damage results from circumstances outside the warranty’s coverage. For example, damages caused by flooding, freezing pipes, or improper maintenance typically do not qualify for coverage.
Additionally, your claim could be denied if the water heater failed because of pre-existing problems before the warranty started. Another common rejection reason is if the damage happened due to misuse or neglect.
Home warranties are also unlikely to cover cosmetic issues or damage from natural disasters. Keep in mind that manufacturers’ warranties on new water heaters often cover defects separately and might not overlap with home warranty coverage.
What Does “Repair” vs “Replacement” Mean for Water Heaters?
Most home warranty companies prefer to repair before replacing. Repairing parts like heating elements or thermostats can often fix the problem without the need to swap the whole unit.
Replacement generally occurs when repairs are either impossible or too expensive compared to the water heater's value. If your water heater has multiple failing parts or a leaking tank, replacement is often the only viable option.
Sometimes, warranty companies will offer a replacement with a unit of similar size and efficiency, but it might not be the exact same brand or model you had. This can be a surprise to homeowners expecting an identical swap.
How to Know if Your Home Warranty Covers Water Heater Replacement
The best way to confirm if your warranty covers water heater replacement is to carefully review your contract. Look for specific mentions of water heater coverage, age limits, and any exclusions related to plumbing.
Some warranties list water heaters under “covered appliances,” while others include them in “systems coverage.” Check if your plan has optional add-ons or upgraded levels that expand water heater protection.
If reading contracts isn’t your favorite pastime, calling your home warranty provider directly can clarify things quickly. Ask about repair vs. replacement policies, deductibles, service fees, and the claims process.
What to Expect When Filing a Water Heater Claim
When your water heater acts up, contact your home warranty company as soon as possible. They will usually schedule a licensed technician to diagnose the issue.
Expect the technician to inspect the unit and submit a report to the warranty company. After evaluating it, the company will decide whether repair or replacement is the best course of action.
You might have a service call fee to pay upfront, depending on your plan. Companies like Complete Protection™ pay the service call fee to diagnose the failure without any deductible. The warranty company will handle costs covered under your plan, but you could be responsible for any extras not included.
Remember that the whole process can take some time, especially if replacement parts or units need to be ordered.
Water Heater Maintenance Tips to Keep Costs Down
Even with a warranty, keeping your water heater in good shape helps avoid unexpected problems. Good habits include regularly flushing sediment buildup, checking the pressure relief valve, and inspecting for leaks.
Doing these small tasks might help your water heater last longer and reduce the chance of needing a costly repair or replacement. Proper maintenance also makes it easier to argue your warranty claim since neglect can be a reason for denial.
Should You Upgrade to a Plan with Water Heater Coverage?
Some exclude water heaters from their most basic home warranty plans. If yours does, and you want peace of mind for this essential appliance, look into plans with expanded or full water heater coverage.
Compare the monthly cost of these plans to potential repair or replacement bills. If your water heater is older or showing signs of wear, investing in coverage might save you money and hassle later.
Tankless Water Heaters and Warranty Coverage
Tankless water heaters are becoming popular due to their energy efficiency and compact size. However, not all home warranty plans cover them by default.
If you have a tankless unit or plan to install one, check if your warranty covers it. Sometimes it’s included as an optional add-on or requires a premium home warranty plan. Knowing what your warranty covers before a breakdown means you won’t be stuck with a surprise bill for your sleek new system.
Water Heater Replacement: DIY or Professional?
Replacing a water heater isn’t a weekend DIY project for most homeowners. It involves dealing with plumbing, gas, or electrical connections, and permits.
Home warranty companies require licensed professionals to perform repairs and replacements. Trying to fix or replace your water heater on your own could void your warranty and lead to bigger headaches. If your warranty covers water heater replacement, they will coordinate the work with approved service providers.
How Much Can You Expect to Pay if Not Covered?
If your home warranty does not cover your water heater replacement, costs can vary widely. A traditional tank water heater replacement can run from a few hundred dollars to over a thousand, depending on size and fuel type.
Tankless units generally cost more upfront but save energy over time. Labor and permit fees add to the bill. Knowing the potential costs ahead of time helps you plan and decide if purchasing warranty coverage is worth the investment.
Protect Your Water Heater and More with Complete Protection™
Cold showers aren’t fun, but unexpected water heater repairs don’t have to be a nightmare. At Complete Protection™, we make it easy to budget for repairs and replacements with four customizable home warranty plans starting at just $49 per month. Our coverage includes water heaters, HVAC systems, major appliances, and plumbing and electrical systems, depending on the plan you choose.
Enjoy benefits like free preventive maintenance checks, no deductibles, and live customer support without confusing fine print. Ready to stop worrying about sudden breakdowns? Call us at 800.978.2022 or visit our website to get a quote today. Protect your home and keep the hot water flowing with CP™, trusted across the U.S. and Canada.