The truth is, home owner's warranties (HOW) are a waste of money if you have to pay for one. A home owner's warranty is an insurance policy that covers you if an item breaks down. The policies are different so an explanation of what it covers is impossible. What consumers think they cover is usually every appliance and major systems in the house. Like dishwasher, refrigerator, furnace, washer machine. ... Also, there is usually a copay, and what happens if the item is not repairable. Read the policy before paying for it, or read it when someone else pays for our.
The deductible and what they cover is not worth paying for. Read consumer reports on warranties. NBC recently did a report on it. However, If you are buying a home and the seller is paying, then it's ok. Just don't expect to benefit from it, and do not extend it. As with all contracts, read before buying.
Illinois Attorney General Lisa Madigan has publisher an article on home worthless an HOW can be. People that I have heard from complain about the slow response, to the point that they want skip the HOW to have an item fixed.
Also, like car warranties make sure that you know what it covers.
Bottom line: it is probably a waste of your money.
Jeffrey M. Jacobson