If your air conditioner or furnace malfunctions and needs repair or replacement, can you count on your home insurance to cover the expense? First, it’s important to realize that homeowner’s insurance only covers “damage.” That’s a very specific term that does not include issues such as HVAC components that fail due to wear and tear, neglected maintenance or simply an aging furnace or air conditioner that has now outlived its expected service life.
Are There Exceptions?
Only when damage occurs to an HVAC system, and only if it is caused by covered events specifically listed in the policy such as fire, windstorms, lightning, etc. These causes do not include typical repair or replacement scenarios such as malfunctions, worn out parts or poor HVAC performance.
What About Alternatives?
A homeowner has other options to add some level of protection to HVAC equipment and defray expenses due to mechanical failures and other issues not covered by a typical home insurance policy.
- Manufacturer’s warranty. As HVAC systems become more reliable, and service life is longer, many manufacturers offer more comprehensive warranty terms than ever. Failure of certain very high-value components—the A/C compressor and the furnace heat exchanger, for example—now often have extended warranty coverage, in some cases for the life of the system. Note that most manufacturer’s warranties today strictly require annual professional preventive maintenance in order to keep the warranty terms in force. Be sure to schedule yearly maintenance service with a qualified local HVAC contractor.
- Home warranties. These are often marketed to new home buyers, frequently by the realtor who brokers the sale. Plans offer repair and replacement of HVAC equipment, appliances and other costly systems in a house when the need arises as a result of normal wear and tear. A homeowner who buys a home warranty and needs repair or replacement contacts the warranty company which has business relationships with providers of various home services. Usually the homeowner pays only a minor service fee for whatever work is required.
For more about home insurance issues relating HVAC systems, ask the experts at Energy 1 Heating & Air Conditioning.
Our goal is to help educate our customers in Lorain, Ohio about energy and home comfort issues (specific to HVAC systems). For more information about home insurance and other HVAC topics, download our free Home Comfort Guide or call us at 440-201-2959.
Energy 1 Heating & Air Conditioning
1 (440) 246-5440
Serving the Lorain, OH Area