If you are buying a home it is probably a good idea to speak to your real estate agent about a home warranty policy. Some offices will recommend a particular company that provides good service in that area. Coverage usually includes appliances and costs $250-$400 per year. Coverage for central air and major plumbing problems can be added at an additional fee. Typically if they cannot fix it and there are no spare parts being sold, the company will replace the appliance.
I had a policy in New Jersey, and unfortunately I don't remember who it was with, but my dishwasher was broken and my model had been discontinued and so I got a brand new dishwasher.
To see reviews of various policies you can go the following link:
http://www.homewarrantyreviews.com/
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