a furnace system

Does Homeowners Insurance Cover HVAC?

Updated March 5, 2024 . AmFam Team

If you’re like most people, furnace or boiler maintenance isn’t the first thing on your mind — until something goes wrong. Because you depend on these important heating systems all winter long, it’s key to have a plan for what you’ll do if the unexpected should happen. And it’s also really important to know how your homeowners policy can help to protect your finances if your furnace, central air conditioner or water heater were to be damaged or destroyed by a covered loss.

Is a broken boiler covered by home insurance? Does home insurance cover furnace replacement? That depends. If the factors that caused the issue are defined as a "covered loss" in your homeowner’s policy, then you may have coverage.

Suppose a fire destroyed your furnace or boiler, and the fire was the result of a cause of loss — that your policy specifically declares as covered. In cases like these, you may be able to file a claim to repair or replace your heating system. And you'll be able to receive coverage on other related property damage to your home. After paying the deductible, coverage will be capped at the policy’s limit.

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Choosing homeowners insurance with American Family means you have the freedom to build a policy that's best for you and your family.

Equipment Breakdown Coverage for Furnaces & Boilers

You can find some comfort with our optional equipment breakdown coverage. It’s an insurance that protects your home’s appliances, electronics and equipment if they should be damaged or destroyed due to a covered sudden and accidental mechanical breakdown, power surge or electrical breakdown.

This is important additional coverage, even if you have new appliances in the kitchen. According to a Consumer Reports survey, more than 20 percent of most new appliances fail within the first four years. With this coverage, if your new refrigerator should stop working after a power surge, electrical or sudden and accidental mechanical breakdown, your finances can be better protected. When compared to the cost of an expensive whole home warranty - and the deductible/service call you’ll pay for as well — it may be cheaper to pay for a new appliance outright, versus filing a claim with the warranty group.

Purchasing equipment breakdown coverage can translate into more peace of mind with the knowledge that the expensive equipment found in your home is better protected. It’s also a good idea to check with your equipment and appliance manufacturer to see if the product is under warranty. If the warranty is active, and something happens, you may have a chance to remedy the issue without having to spend too much out-of-pocket. And you may be able to avoid having to file a claim with your insurance company.

What is covered under equipment breakdown coverage?

Starting at $30 annually, you can add equipment breakdown coverage to your American Family homeowners policy. It’s insurance that can help to protect your finances when an expensive repair is required due to a covered loss. Here are a few examples of important equipment and appliances in your home that can be protected with this additional coverage:

  • Washers and dryers
  • Home security systems
  • Refrigerators, ovens and stoves
  • Heating and cooling units, including furnaces water heaters and boilers
  • Electrical systems
  • Computers
  • Garden tractors
  • Well pumps
  • Swimming pool equipment


a repairman fixing a furnace


Tips for Preventing Furnace and Boiler Breakdown

Proper upkeep of your boiler or furnace can really help extend its life. Getting familiar with how these systems operate and function can be tricky at first, but once you’re up to speed, you’ll have a good idea of how to keep them running well. Work with a professional service and repair group to perform annual inspections.

Take a look at these important tips to help keep your heating systems operating safely:

  • Prevent boiler and machinery equipment breakdown with seasonal maintenance
  • Perform your own furnace maintenance by changing furnace filters every two months
  • Remove air from your boiler’s pressure vessel at least once annually
  • Professionally test your heating system exhaust line for carbon monoxide leaks

Heating equipment will only last so long. Because gas furnaces have more moving parts, they tend to break down more frequently and need more maintenance versus boilers will. If your furnace is more than twenty years old, you may want to consider swapping it out before it fails. New, high-efficiency systems can really help you to save money on utilities.

Boilers have been around a long time, but they still can fail — and sometimes the cleanup and cost to repair or replace can extend into the thousands of dollars. Regularly having your pressure vessel inspected is one of the most important ways to maintain your boiler. Pressure vessel fatigue can cause a fissure in the tank wall— and that can lead to expensive problems. Be sure to schedule an annual boiler checkup to stay on top of any potential trouble.

Get Home Boiler & Heating Insurance Coverage

If you’re interested in learning more on how to best protect your furnace, boiler or other equipment and appliances, just check in with your American Family Insurance agent. Equipment breakdown coverage can help you feel more secure knowing that you’ve made the right choice to protect your big investments. Remember, we’re here to support the dreams you’ve worked so hard for all these years.

This information represents only a brief description of coverages, is not part of your policy, and is not a promise or guarantee of coverage. If there is any conflict between this information and your policy, the provisions of the policy will prevail. Insurance policy terms and conditions may apply. Exclusions may apply to policies, endorsements, or riders. Coverage may vary by state and may be subject to change. Some products are not available in every state. Please read your policy and contact your agent for assistance.

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