Having to cover the expenses of repairing or replacing our HVAC equipment can represent a financial burden when such expenses happen all of a sudden. However, it would make sense to assume that our homeowner’s insurance policy can keep us protected from having to pay a big sum from our own pocket, right? We need to be aware of what our policy covers and what it doesn’t, since waiting for the last moment can end up causing higher repair or insurance costs that could have been easily avoided. This is because, even when homeowner’s insurance could cover HVAC repair and replacement costs, there are some exceptions we should keep in mind.

As part of your home appliances and belongings, HVAC units are covered by the vast majority of homeowners’ insurance policies, but not in all cases. For example, damages to our air conditioning or heating units caused by fires, flooding, hurricanes, earthquakes, and even vandalism can be covered by standard home insurance. Therefore, we wouldn’t have to worry about having to cover the repair and replacement expenses in any of these scenarios.

On the other hand, if our AC units happened to get damaged as a result of the normal tear and wear, or because of an accident, our insurance company may deny coverage as this would qualify as caused by a lack of maintenance and proper usage of the equipment. This is why it is important that we schedule regular revisions and tune-ups to our HVAC systems, as this will keep them sharp and properly functional.

In order to cover the expenses that may come from having to repair or replace their AC units, many homeowners decide to get a home warranty as an extension to their homeowners’ insurance coverage. A home warranty, or home repair insurance, can cover the repair and replacement costs of different home appliances and home systems in case an accident happens, all for a set fee. However, we should be aware of our policy’s exclusions and limitations beforehand, so that we know if our HVAC units are covered or not.

If we already have home insurance coverage, or a home warranty policy, filing a claim to have our AC units repaired or replaced shouldn’t be hard. There first step to take is to contact our coverage company so that they can start doing their report. Also, try to document the situation with photos and videos of the state of your HVAC, especially if it has been hit or damaged because of a fire, hurricane, or electric storm. Once we’ve done that, we need to wait for our adjuster to determine the damages and start the repairing or replacing process. If we are offered a cash reimbursement, we should make sure we use this money to fix our ACs. Otherwise, we might end up being chased by the snowball effect of a wrong decision.