Sears Home Warranty

• Customizable Plans
• Add On Coverage
• Home Warranty Plan Benefits
• 180-Day Service Guarantee
• Easy Warranty Claim Process
• Competitive Cancellation Policy

Customizable Plans

Sears Home Warranty's plans have no product age limit, include one heating and one cooling preventive maintenance check annually, and offer coverage for unknown pre-existing conditions.

Warranties come with a 30-day waiting period. However, during this period you'll benefit from 25 percent discounts on repairs for appliances, HVAC, and water heaters.

You'll find three home warranty plan options through Sears: Appliance Plan, System Plan, and Whole Home Plan.

Appliance Plan
The Appliance Plan protects 10 major home appliances:

• Refrigerator (with ice-maker)
• Dishwasher
• Washer
• Dryer
• Oven/cooktop/range
• Range exhaust fan
• Built-in trash compactor

You'll also benefit from 25 percent discounts on HVAC and water heater repairs.

This plan costs $49.99 per month. The service fee is $75.

System Plan
The System Plan protects 11 major home systems:

• Heating system
• Air conditioning
• Electrical system
• Plumbing
• Water heater
• Water softener
• Faucets and toilets
• Garbage disposal
• Ceiling fans
• Garage door opener

You'll also benefit from 25 percent discounts on appliance repairs.

This plan costs $59.99 per month. The service fee is $100.

Whole Home Plan
The Whole Home Plan combines the Appliance and Systems plan into one. It costs $69.99 per month. The service fee is $100.

Add On Coverage

Each Sears Home Warranty Plan is customizable with the following coverage:

• Pool and or spa with heater
• Septic tank with pumping
• Stand alone freezer
• Sump pump
• Well pump

Sears Home Warranty has separate contracts for each of its home warranty products. Using the Whole Home Plan as an example, contracts last one year and include a 30-day waiting period at the beginning.

Additional Plan Benefits

Each Sears Home Warranty plan includes the following:

• 24/7 customer service
• 180-day workmanship guarantee
• Product replacements
• Pre-screened technicians
• Comprehensive coverage
• Heating and cooling maintenance checks

These benefits are standard in the home warranty industry, but Sears' 180-day workmanship guarantee, and heating and cooling maintenance checks, are unique and stand-out offerings.

180-Day Service Guarantee

Sears chooses the technicians it works with and offers a 180-day service guarantee. Home warranty providers often offer a workmanship guarantee but typically of only 30 days. Sears' guarantee is one of the longest that you'll see in the industry.

Easy Warranty Claim Process

You can submit claims online or over the phone 24/7. You'll receive a referral to a service technician within 2 hours during business hours or 24 hours for requests made outside of business hours.

Competitive Cancellation Policy

Sears Home Warranty has separate contracts for each of its home warranty products. We'll use the Whole Home Plan contract as our reference for contract information.

Sears' cancellation policy is fairly consistent with industry norms. You'll receive a full refund if you cancel within the first 30 days and haven't made a claim.

If you've made a claim or decided to cancel after the first 30 days, you may receive a prorated refund for the remaining contract time. You'll also be charged a $25 claims processing fee and the cost of any service performed under the agreement. In some cases, you may be charged by the company for the remaining balance.

• Poor Sears Home Warranty Reviews
• 2018 Bankruptcy Filing
• Exclusions and Limitations

Poor Sears Home Warranty Reviews

Sears Home Warranty has received a sizable number of reviews, although some competitors have higher review counts on Best Company.

Unfortunately, 96 percent of these reviews are 1 star. Reviews mention poorer service post Sears' bankruptcy, long delays with parts and repairs, poor customer service, dissatisfaction with claims and coverage, and difficulty cancelling.

These concerns are troubling because a home warranty's value is in the repairs and claims.

Sears Home Warranty also has a 71 percent lower average star rating compared to the industry average (3.8 /5).

The company's net promoter score is also much lower than the industry average: a 0.2 compared to a 5.8. The net promoter score measures the likelihood a reviewer would recommend the company on a scale of one to ten, with ten being the most likely.

2018 Bankruptcy Filing

As noted in the introduction, Sears declared bankruptcy in 2018, which resulted in a new operation structure. Home warranties are still marketed under the Sears brand, but they are managed by TransformCo.

Bankruptcy isn't a good sign, particularly for home warranty shoppers. You'll want to find a home warranty provider that has a good track record of meeting its claims obligations and is financially stable.

Exclusions and Limitations

Using the Whole Home Plan contract as a reference, Sears Home Warranty's limitations and exclusions generally follow industry trends.

Home warranty contracts typically have limitations and exclusions. Sears' contracts are no exception.

You won't find coverage for permits, cranes, removal fees, disposal fees, modifications, abuse, misuse, neglect, poor maintenance, missing parts, power surges, fire, etc. Incidental and consequential damage is not covered.

Keep in mind that specific parts of equipment may not be covered, so review the contract to understand your coverage better. In some cases, you may be offered a cash settlement instead of a repair or replacement.

The warranty has an annual cap of $50,000 and a $10,000 cap for each claim.

You must receive prior authorization for coverage to be offered. If you get repairs done without working through Sears, you won't be covered even if the repair is normally covered.