I am all in favor of 1 year warranties when purchasing a home and the seller agrees to pay for it and not tacking it onto the closing costs.
I've had discussions with son-in-law and others who have purchased warranties on their HVAC and appliances claiming "They will come right out and replace it if it can't be repaired." A buddy of mine went without A/C for 3 weeks in the Georgia heat as the insurance company shopped for the best deal on a $180.00 replacement fan motor.
My spidey senses say no insurance company can sell a protection policy guaranteeing repair or replacement of appliances, furnaces and A/C that are at the end of, or beyond their useful life for such a low premium. That would not be a legitimate and sustainable business model. It's not like car or life insurance where odds are in the house's favor (insurance co.) that claims paid will never exceed the EBITDA (premiums collected) and when they do. premiums rise or you are dropped.
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