INDIANAPOLIS - Don't sign up for a home warranty until you do your homework.
Industry experts say there are certain steps to follow before purchasing a warranty.
According to Angie's List, home companies are the worst-graded category on the consumer-review site.
Carmel homeowner Lindsay Ohmer said she got a warranty when she bought her house. The warranty came in handy when her furnace broke last winter.
"We just hopped on the website and filed a claim really fast and within a few hours we had somebody out here taking care of it for us," Ohmer said.
Angie's List founder Angie Hicks said the key to having a good experience like Ohmer's is to understand what is and isn't covered under a warranty.
"Be sure you take the time to read through the contract so you understand exactly how it works because there is nothing more frustrating than having something break and then you have to go read the document. You want to be prepared ahead of time," Hicks said.
The average price for a home warranty is between $250 and $450 per year, but you can also wind up paying $75 for each repair.
Also worth noting, new appliances are likely covered under the manufacturer's warranty.