I Have a Home Warranty But I've Never Actually Used It. Would Dave Ramsey Say I'm Wasting My Money?
Key takeaways
- I Have a Home Warranty But I've Never Actually Used It.
- Not necessarily, and this is a question worth thinking through carefully rather than answering reflexively.
- A home warranty is a service contract that transfers the financial risk of mechanical failure in covered systems and appliances from your household budget to the warranty provider.
I Have a Home Warranty But I've Never Actually Used It. Would Dave Ramsey Say I'm Wasting My Money? I Have a Home Warranty But I've Never Actually Used It. Would Dave Ramsey Say I'm Wasting My Money? Caroline Lubinsky Mon, June 29, 2026 at 1:00 AM GMT+7 8 min read Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below.
Not necessarily, and this is a question worth thinking through carefully rather than answering reflexively. The logic of "I have not used it so it is wasted money" applies equally to car insurance, term life insurance, and homeowners insurance. Nobody calls their auto policy a waste when they go a year without an accident. The value of any insurance or protection product is not measured by whether you filed a claim. It is measured by whether the risk it covers is real and whether the financial consequence of that risk occurring without coverage would be significant.
A home warranty is a service contract that transfers the financial risk of mechanical failure in covered systems and appliances from your household budget to the warranty provider. What you paid for is not the repair. It is the elimination of uncertainty about what a repair would cost if it happened.