The landscape of residential water heaters is changing – will your clients be ready? According to HomeAdvisor, the average cost of a water heater repair is between $202 and $764, with the average cost to replace water heaters between $666 and $1099. However, depending on the type of unit and the location, it can cost homeowners more.

Fortunately, a home warranty can cover many of the associated costs of water heater repair and replacement. However, one area that may not be covered under a standard warranty involves the new U.S. Department of Energy regulations.

Regulations address water heater energy-efficiency
Starting in 2015, the DOE has implemented stricter energy requirements for all new water heaters. This means homeowners who want to replace or upgrade their unit will be looking at more energy-efficient units. While the new energy-efficient units will help decrease energy bills, as manufacturers work to accommodate the new regulations, many water heaters will increase in size.

This is due to two main reasons:

• Need for additional insulation
• Need for new, energy-efficient combustion systems

More insulation and better combustion systems, like flue dampers, will make many water heaters more energy-efficient. Consequently, replacing a water heater now could mean upgrading the storage area around it to make room for the increased size. These costs to modify the space around the unit are not typically included under a home warranty.

Except with HMS’s Premier Upgrade Package. Contract holders have additional coverage for typical non-covered charges associated with a covered claim. One of these is upgrades required to meet new DOE regulations. Homeowners can use the PUP option twice per contract year. With the PUP coverage and the HMS Home Warranty, homeowners are less likely to face higher costs to replace water heaters due to DOE regulations.

Brought to you by our preferred Partner, HMS Home Warranty.  HMS is an industry leader with over 30 years of creating success for clients and providing peace of mind for customers.  To learn more click www.hmsnational.com