Embark on your homeownership journey with confidence, thanks to Liberty Home Guard's user-friendly glossary.
We understand that the abundance of industry terminology can be overwhelming, but worry not! We have put together a comprehensive compilation of commonly used words and phrases related to homeownership, home warranties, real estate, and more.
This easy-to-understand glossary will empower you to navigate through the complexities of the homeowner's world. Say goodbye to confusion and hello to a better understanding of home warranties.
Let Liberty Home Guard be your trusted source of knowledge as we simplify the language and help you protect and maintain your beloved home.
The formal request or submission to enroll in a home warranty plan.
Homeowners often invest in home warranties specifically to guard against the expenses tied to appliance malfunctions.
An air handler, often called an air handling unit (AHU),is a device that regulates and circulates air as part of an HVAC system.
An Act of God for Homeowners refers to a natural event, such as a hurricane, earthquake, or flood, that occurs without human intervention and is typically unpredictable.
Base Flood Elevation (BFE) refers to the computed elevation to which floodwater is anticipated to rise during a base flood. A base flood is defined as having a 1% chance of being equaled or exceeded in any given year, also known as the 100-year flood.
Code Violation Corrections refer to the process of identifying, addressing, and resolving violations of building, safety, or zoning codes.
Commercial-Grade Equipment refers to tools, appliances, or machinery designed for heavy-duty use in professional or industrial settings.
A cancellation policy is a set of terms and conditions that dictate the circumstances under which a contract or agreement can be terminated.
A Claim Denial refers to a situation in which a requested repair or replacement is not approved or covered under the terms and conditions of a contract
A coverage limit refers to the maximum amount an insurance company, home warranty provider, or similar entity will pay for a specific claim, service, or coverage category.
A catastrophe claim is a specific type of homeowners insurance claim filed after significant damage caused by large-scale disasters such as hurricanes, wildfires, earthquakes, or severe storms.
Consequential damage, also known as indirect or special damage, refers to the additional losses that occur as a result of a primary event. In the context of home warranties, this primary event is typically the failure of a covered appliance or system.
CFC Certification, or Chlorofluorocarbon Certification, is an essential qualification for professionals working with refrigerants that can deplete the ozone layer.
A condenser coil is a critical component of air conditioning and refrigeration systems, responsible for releasing heat absorbed from indoor spaces to the outside environment. It facilitates the cooling process by enabling the refrigerant to change from a
Depreciation is the gradual decrease in the value of an asset over time. In the context of homeownership, it refers to the reduction in value of various components of a home, including its systems and appliances.
Appliances and systems designed for typical household use rather than heavy commercial usage.
Duplicate coverage in the context of a home warranty refers to a situation where the same item or aspect of your home is covered by more than one insurance policy or warranty.
A dwelling policy stands as a specialized insurance offering, meticulously crafted to shield the physical structure of your home.
The date from which the coverage provided by the home warranty plan becomes active.
Equipment Breakdown Coverage is a type of insurance policy that provides protection for homeowners against the specific costs.
EPA certification for HVAC refers to the credential issued by the U.S. Environmental Protection Agency (EPA) that allows HVAC technicians to legally handle refrigerants in accordance with federal regulations.
Evaporative coolers, also known as swamp coolers, are an energy-efficient and environmentally friendly way to cool indoor and outdoor spaces.
The electrical common wire, often referred to as the neutral wire, serves as a return path for electrical current in a circuit.
The current cost of replacing an item with one of similar age and functionality, accounting for depreciation.
Financial protection refers to the safeguarding of a homeowner's financial resources against unexpected and potentially costly repairs.
First Notice of Loss (FNOL) is the initial communication from a policyholder to their insurance or home warranty provider, informing them of a loss or damage that could result in a claim. This notice sets the claims process in motion and is critical for e
A furnace flame sensor is a small yet crucial component in your heating system that ensures safety by detecting the presence of a flame in the furnace burner.
A furnace pressure switch is an essential safety component in modern heating systems, responsible for monitoring the air pressure within the furnace.
A heat exchanger in a furnace is a device that efficiently transfers heat between different fluids or gases, keeping the combustion gases contained while heating the air circulated into your living space.
Freon is a widely recognized term for refrigerants used in air conditioning (AC) and refrigeration systems.
A furnace sequencer is an essential component in electric furnaces and some heat pumps that control the timing of electrical circuits.
A furnace limit switch, also known as the “limit switch on furnace,” is a device located inside the furnace that monitors the internal temperature.
A furnace transformer is an important component within your furnace system, responsible for regulating and transferring power.
When it comes to maintaining a safe and efficient heating system in your home, understanding how a furnace vent works is essential.
Grace Periods in contracts offer crucial flexibility and protection, allowing reasonable delays in meeting obligations.
A garage door torsion spring is responsible for helping the door open and close smoothly.
Garage door springs allow your garage door to run smoothly and efficiently. Without these components, lifting a heavy garage door manually would be nearly impossible
Garage door extension springs make it possible for you or your automatic garage door opener to lift and lower a heavy garage door with ease.
A Guest Unit for Homeowners is a self-contained living space located within or on the property of a primary residence, designed to accommodate guests or serve as an additional living area.
A comprehensive evaluation of a property's condition, identifying potential issues and needed repairs.
The period during which the terms and coverage of the home warranty plan are in effect.
The specified time frame after purchasing a home warranty during which certain coverage may not be active.
Coverage protecting against unexpected events such as accidents, natural disasters, and theft.
Understanding the intricate components of Home Warranty Emergency Service is pivotal for homeowners seeking to fortify their homes against unexpected crises.
In essence, the claim limit is the upper threshold that a home warranty company commits to covering for eligible repairs or replacements within a specified timeframe.
A cornerstone of real estate transactions, the home sale contingency is a contractual provision designed to safeguard the interests of both buyers and sellers.
The Housing Expense Ratio (HER) assumes a pivotal role in the toolkit of lenders and financial experts as they evaluate the affordability of a home.
Enacted by Congress in 1998, the Homeowners Protection Act, also known as the Private Mortgage Insurance (PMI) Cancellation Act, is a crucial piece of legislation designed to act as a formidable safeguard for homeowners.
Home equity loans offer financial empowerment for homeowners, allowing strategic use of property value for various financial goals and benefits.
A Homeowners Warranty, also known as a Home Warranty or Home Service Contract, is a contractual agreement designed to cover the repair or replacement costs of major home systems and appliances
Purchasing a home is a momentous step, and safeguarding this significant investment is a top priority for homeowners.
A home warranty claim is a formal request made by a homeowner to their home warranty company for the repair or replacement of a covered system or appliance.
Home Dwelling Insurance, often called homeowner's insurance, is a type of property insurance covering a private residence.
A home warranty is a service contract that covers repairing or replacing important home system components and appliances that break down over time. This article will delve into the intricacies of home warranty customization, providing a comprehensive unde
Home warranty claims process: Filing, reviewing, approval/denial, and resolution for covered appliance or system breakdowns.
Home Inspection Contingency is a clause in a real estate contract that allows the buyer to thoroughly inspect the property before finalizing the purchase. This clause is designed to protect the buyer from unforeseen issues that may not be immediately appa
A hurricane deductible is a specific type of deductible that applies to insurance claims made due to damage caused by hurricanes. Unlike standard home insurance deductibles, typically a fixed dollar amount, hurricane deductibles are often calculated as a
A home inventory is a comprehensive list of personal belongings within a home, including details about each item, such as description, purchase date, value, and condition. This inventory can include furniture, electronics, appliances, clothing, jewelry, a
An HVAC blower is a crucial component of your heating, ventilation, and air conditioning system that's responsible for circulating conditioned air throughout your home.
An HVAC filter is a component in heating, ventilation, and air conditioning systems designed to remove particulate matter such as dust, pollen, mold spores, pet dander, and other airborne contaminants.
The HVAC compressor is a critical component in any heating, ventilation, and air conditioning (HVAC) system.
A landlord home warranty offers a practical solution by covering the costs of repairs and replacements for critical systems and appliances in your rental property.
Insurance to Value, in the context of homeownership, is a critical concept that determines the amount of coverage a homeowner's insurance policy provides.
An insurance endorsement, also known as a rider or amendment, is a provision added to an existing insurance policy that modifies its terms, coverage, or conditions.
An insurance rider is an add-on provision to an existing insurance policy that provides additional coverage or modifies the terms of the standard policy.
The Implied Warranty of Habitability refers to an unspoken guarantee that landlords must provide tenants with a property that meets minimal living standards.
An insurance declaration page is the first section of your insurance policy document. It provides a high-level overview of your policy’s most important details. Think of it as a snapshot of your coverage, including key information such as policyholder nam
A mini-split system is a type of heating and cooling system that consists of an outdoor compressor unit and one or more indoor air-handling units, providing zoned climate control without the need for ductwork.
Mechanical Failure for Homeowners refers to the malfunction or breakdown of mechanical systems and appliances within a home, such as HVAC systems, plumbing fixtures, or household appliances.
A Modification for Homeowners refers to a change made to the terms of an existing mortgage loan, often initiated to make the loan more manageable for the borrower.
An Original Manufacturer's Warranty is a contractual agreement between the manufacturer of a product and the consumer
The state in which systems and appliances are functioning as intended without defects or malfunctions.
Pre-existing conditions, often excluded from home warranty coverage, require homeowner awareness and impact claim approval and costs.
When a property changes hands, the existing home warranty can often be transferred to the new owner. However, this process usually involves a transfer fee. This fee is typically required by the warranty company to change the details of the policy holder.
A prorated warranty is a type of service agreement that features tapering coverage over time. In the home services industry, prorated warranties are common for roofs, foundations, HVAC systems, siding, structural elements, and other parts of the home that
A renewal notice is a communication from your home warranty provider reminding you to extend your coverage before it expires
Repair and Replacement Coverage in home warranties covers item repairs or replacements due to normal wear, with terms and limits.
At its core, repair timeframes denote the duration required to complete a repair or maintenance task once identified and initiated.
One of the ever-present hurdles is the unexpected need for repairs, ranging from malfunctioning HVAC systems to leaky roofs.
A Replacement Agreement is a legal contract that outlines the terms and conditions for replacing an item or property.
Replacement cost (RC) is a term used in the insurance industry to refer to the amount of money that would be required to replace an insured item with a new one of similar kind and quality, without any deduction for depreciation.
Recoverable depreciation is a term commonly used in the insurance industry, specifically in the context of homeowners' insurance.
An agreement outlining the terms under which repairs and replacements will be provided for covered items.
State-licensed technicians, trained and examined for competency, offer quality, regulated services, and ensure effectiveness.
A home warranty is a service contract that covers the repair or replacement of important home system components and appliances that typically break down over time.
Structural defects are issues that affect the integrity of a home. They are not merely cosmetic or surface-level problems. Instead, serious issues can make a home unsafe or unlivable. Structural defects can include problems with the home's foundation, wal
A seller credit is a type of concession that a seller shares with a homebuyer to offset some of the real estate expenses at closing. Taking advantage of a seller credit at closing can be a way for buyers to save on out-of-pocket expenses without negotiati
A Service Fee for Homeowners refers to the fixed amount a homeowner pays for professional services, typically associated with home repairs, maintenance, or warranty claims. This fee is often charged per service visit or incident.
A Service Request for Homeowners is a formal inquiry or application made by a homeowner to request maintenance, repair, or support services for their property.
A warranty that can be transferred to a new homeowner when the property is sold, offering continued protection.
A Trade Service Call Fee, also known as a service call fee or trade call fee, is a fixed charge that homeowners pay when they request a service visit from a technician or contractor covered under their home warranty policy.
Termites, while small in size, can cause significant structural damage to homes if left unchecked. Therefore, termite inspections are an essential part of home maintenance. This article will delve into the intricacies of termite inspections, the role they
In the context of real estate, tender loving care—or TLC—refers to the efforts required to repair a distressed property. If a brokerage mentions that a listed house needs TLC, that means the home is in a reasonable state of disrepair. Think of the term as
A Visual Inspection for Homeowners is a non-invasive examination of a property’s visible and accessible areas to identify potential issues, maintenance needs, or areas of concern.
A legal document that confirms ownership and provides assurances regarding the property's title.
At its essence, a Workmanship Guarantee, often synonymous with a Workmanship Warranty, represents a commitment from service providers, contractors, or home warranty companies regarding the quality and durability of the work undertaken on a specific projec
A washing machine’s drum is the core component where your clothes are placed for washing.
A washing machine gasket is a crucial component that helps maintain the watertight seal between the door and drum of front-loading washing machines.