It seems like something that simply is not necessary and it does not really help all that much. This attitude is quite common. A home warranty can help to cover the costs of repairs and replacements of major appliances in your home. If something breaks down, you will only have to pay a small deductible instead of the entire cost that you might have had to pay on your own. By paying an annual fee, you will be covered in the event of a number of problems. If you don't have a lot of money to spare or you are looking to sell your home, a home warranty makes sense to help offset costs that you cannot afford.
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But, you, you have the power of choice, as I said earlier, there are some very good ones out there, do your research, read the reviews. The time you put in researching these companies is going to save you the expense of not having done so, and face it, you won't be mad at yourself when you end up feeling like a fool because you believed everything the sales person said to you. I've found my home warranty to be a worthwhile purchase, but this is given a very specific set of conditions. 1 The house I bought had old but functioning appliances, enough that I'd have expected 2 or 3 calls within the year. 2 The previous owners only kept up superficial looks, but other items in terrible condition. The upstairs bedroom had carpet soaked in pet urine. Amateur private bathroom paint job. If it was out of sight for guests, it was not cared for. Given that, I was able to get a good deal on the house by accepting a reduced price instead of repairs, then buying a home warranty to cover me when appliances did fail. Also, be prepared. Contractors will blame Home Warranty, and Home Warranty will blame Contractors.