Choice Home Warranty (CHW) has favorable plan premiums and service call fees. Still, we don’t recommend the provider due to an ongoing consumer fraud lawsuit filed in 2019 by the Arizona attorney general. Instead, we suggest Liberty Home Guard, a reliable provider with comparably priced plans and a higher average customer rating.
We evaluated the company’s coverage, price structure, add-on options and customer service to compare it with other top home warranty providers. As part of our research, we read CHW’s sample contract, requested a fresh online quote and analyzed customer reviews.
Our thoughts on Choice Home Warranty
Choice Home Warranty brings experience, broad coverage choices and affordability to the table, but its legal issues with multiple state consumer protection agencies raise concerns about the company’s business practices.
When evaluated against our in-house review standards, CHW scored 3.8 out of 5 stars. It received full points for coverage options and limits, as well as customer service.
What we like
We like that Choice Home Warranty offers combined appliance and system coverage in its lower-priced plan with expanded coverage for appliances and systems in its higher-priced plan.
Its 30-day workmanship guarantee aligns with the industry standard. Although some companies offer longer guarantees, not every provider guarantees its work after a repair or replacement.
While shopping for a new home warranty, we found that CHW’s customer service was attentive, helpful and flexible. We received a discounted offer through our initial online quote request, but a customer service representative offered us an even steeper discount within minutes of a follow-up email.
CHW’s membership with the National Home Service Contract Association places it in good company in the industry.
What we don’t like
The ongoing civil fraud case in Arizona remains a troubling cloud for Choice Home Warranty. Customer complaints and disputes are nothing new in the home services industry, but a lawsuit brought by a state attorney general is potentially damaging to a company’s reputation.
The 2019 Arizona case followed a 2015 settlement with the New Jersey Division of Consumer Affairs, in which CHW resolved a lawsuit by paying $780,000 and revising its business practices. As part of its settlement, CHW did not admit to wrongdoing connected with the New Jersey legal action.
While unfavorable customer reviews are not unusual for home service contract providers, CHW received more than 11,500 customer complaints through the Better Business Bureau (BBB) over the past three years. Of those, more than 4,600 have been closed within the past year.
Compare top home warranty companies
Our research shows that Choice Home Warranty’s coverage plans and annual premiums compare favorably to other providers with similar longevity and geographical scope. For example, one of the longest-tenured providers on our list of the best home warranty companies, American Home Shield, charges more for its midtier plan ($65–$75 per month) than CHW charges for its top-tier plan.
We gathered pricing information for the companies listed in this comparison table by requesting quotes across each state they service and calculating a national average. We used a 2,000-square-foot, single-family home to obtain our quotes. Your pricing will vary based on your home’s size, location and coverage needs.
Coverage plans
Choice Home Warranty is rare among home warranty providers in that its lower-priced plan combines coverage for home systems and some major kitchen appliances. Most top home warranty companies split their coverage into three plans: one for appliances, one for systems and one that covers both.
Here is an overview of CHW’s plans:
- Basic Plan: Covers electrical, heating and plumbing systems, along with five major appliances, ceiling and exhaust fans, garage door openers, water heaters and whirlpool bathtubs. This plan does not cover air conditioning systems, refrigerators, or washers and dryers.
- Total Plan: Covers everything included in the Basic Plan, plus air conditioning systems, refrigerators, and washers and dryers.
A few other factors influence coverage for CHW’s plans. Here’s an overview of each:
- Workmanship guarantee: 30 days
- Coverage caps: $3,000 per covered item for the first year of the contract
- Coverage start: After 30 days, unless you offer proof of prior coverage through an existing contract with another provider showing no lapse
- Extra fee for monthly payments: $2.50 per month unless you choose one annual payment instead
Below is a list of the appliances and systems that each plan covers.
| Coverage | Basic Plan | Total Plan |
|---|---|---|
| Clothes washer | ✗ | ✓ |
| Cooktop | ✓ | ✓ |
| Dishwasher | ✓ | ✓ |
| Ductwork | ✓ | ✓ |
| Electrical system | ✓ | ✓ |
| Garage door opener | ✓ | ✓ |
| Garbage disposal | ✓ | ✓ |
| Heating system | ✓ | ✓ |
| Oven/range/stove | ✓ | ✓ |
| Plumbing stoppages | ✓ | ✓ |
| Plumbing system | ✓ | ✓ |
| Refrigerator | ✗ | ✓ |
| Water heater | ✓ | ✓ |
| Whirlpool bathtub | ✓ | ✓ |
Additional coverage options
When you request a quote from Choice Home Warranty online, you can select from its list of 11 add-ons.
Add-on prices begin at $3.33 per month ($40 annually) for items such as central vacuum and sump pump. The most expensive add-ons are pool- and spa-related at $15 per month ($180 annually). CHW offers limited roof-leak protection for $5.83 per month or $70 annually.
CHW offers the following optional add-ons:
- Central vacuum
- Limited roof leaks
- Pool
- Second refrigerator
- Septic system
- Septic tank pumping
- Spa
- Sprinkler system
- Stand-alone freezer
- Sump pump
- Well pump
Coverage exclusions
Choice Home Warranty transparently outlines what is and is not covered in its sample user agreement. Alongside every item it covers, it lists the related exclusion.
Refrigerators and air conditioning carry the most notable exclusions. CHW explicitly says in its user agreement that it will not cover audio, visual or internet-related components on refrigerators. Unlike most providers that cover HVAC systems, CHW does not cover refrigerant line sets or a portion of the cost of refrigerant for AC units.
Quotes and pricing
Choice Home Warranty makes it simple to acquire a quote online. All it required from us was a home address, a phone number and an email address. We requested a quote from CHW on the company website using a 2,127-square-foot, single-family home in Winter Park, Florida.
The online quote included an automatic 5% discount and an additional month of service for a one-time annual payment. Choosing to pay monthly awarded no additional month.
Like most home warranty providers we’ve reviewed, CHW quickly initiated an email conversation after it received our secret shopper contact information. The customer service email’s subject line indicated that a deeper discount might be available if we called the representative.
Rather than calling, we answered the email and asked for a breakdown of the company’s service fee charges. We received a response in less than five minutes, with a further discounted offer for 13 months of the Total Plan for $561 annually or $49.25 monthly.
The representative also offered a $85 service call fee rather than the regular $100 fee.
Here are the costs provided in the online quote we requested from CHW:
| Plan Name | Monthly Premium | Annual Premium | Service Call Fee |
|---|---|---|---|
| Basic Plan | $47 | $532 | $100 |
| Total Plan | $55 | $627 | $100 |
Customer thoughts
We experienced favorable results with customer service as we sought a quote for this review. The online estimate form was simple to fill out, the available plans and pricing were presented immediately, and we received a prompt and helpful response to our email inquiry about additional available discounts.
While Choice Home Warranty holds a B rating with the BBB, its many unfavorable customer reviews must be taken into account. Consequently, CHW’s BBB customer rating is 1 out of 5 stars.
Many BBB customer reviews cite declined claims, even though items appeared to be covered in the contract.
Consumer review site Trustpilot offers a slightly rosier view of CHW, with a customer rating of 3.7 out of 5 stars. Of the over 38,000 customer reviews of CHW, 71% rated 4 or 5 stars, while 19% rated 1 star.
One recent favorable review cited CHW’s lower prices compared with another leading provider. On the same day, an unfavorable review cited slow service and lower-than-expected payment for furnace repair.
How do you use your Choice Home Warranty coverage plan?
We suggest understanding how home warranties work before buying one. Here are some steps to ensure you get the most out of your Choice Home Warranty plan.
Read your service contract
Your service agreement includes information related to covered items and services, contract renewal or cancellation, company responsibilities, exclusions, limitations and other details.
It contains sections on the coverage plan you choose, service requests, optional add-on coverage, limitations of liability and resolution of disputes.
File a claim
To file a claim, sign into your online account or call the support and claims center at 1-888-373-7924. Both services are available 24 hours a day.
No service will be paid for unless Choice Home Warranty preapproves it. Also, the company assigns the technician. If the repaired or replaced item fails within 30 days of the work, CHW promises to correct the failure without an additional service fee.
CHW begins to contact technicians within four hours of receiving the claim. Once a technician is assigned, you can generally expect an appointment within 48 hours. You pay the service call fee directly to the technician.
How long does your coverage plan last?
Choice Home Warranty offers 12-month contracts, with an extra month added for customers who elect to pay a one-time annual premium instead of monthly premiums.
Coverage begins after 30 days — unless you can show that your covered item was already covered by an existing contract with a different provider and that there was no lapse in coverage.
The company reserves the right to cancel the agreement for nonpayment of premiums or service fees. You may also cancel at any time after the first 30 days.
How should you handle a dispute with Choice Home Warranty?
Choice Home Warranty provides specific language for dispute resolution in the user agreement. It requires that customers file a written claim about the dispute with the company and allow 30 calendar days for CHW to respond.
CHW also requires mandatory arbitration through the American Arbitration Association. Arbitration brings in a neutral third party to resolve a contractual dispute out of court.
Another option is to file a complaint with the New Jersey Division of Consumer Affairs. The office also provides a step-by-step guide for filing a complaint.
Final take: Choice Home Warranty offers affordability, but legal issues loom
Choice Home Warranty provides unique options with its two combination plans. The less expensive plan might appeal if you don’t need coverage for clothes washers or dryers, refrigerators or air conditioners.
The consumer protection agency lawsuit against CHW raises a potential red flag, as does the pattern of unfavorable customer reviews related to rejected claims.
We recommend seeking at least three quotes from reputable home warranty providers before you decide on the company that best suits your needs.
Our rating methodology for home warranty companies
We research and rate home warranty providers to help you choose the right one for your budget and home. Our research includes gathering customer insights via consumer surveys, interviewing industry experts, secret shopping all of the companies we review and analyzing customer reviews from third-party review sites such as Trustpilot and BBB.
We compare home warranty providers across the following five categories:
- Coverage plans and extra features
- Coverage limits
- Price
- Reputation
- Customer service
Read our full home warranty company methodology for more information.
BBB and Trustpilot reviews are accurate as of February 2024.
Editorial note: The name “Homefront” refers to the alliance between USA TODAY and Home Solutions that publishes review, comparison, and informational articles designed to help USA TODAY readers make smarter purchasing and investment decisions about their home. Under the alliance, Homefront provides and publishes research and articles about home service and home improvement topics.
Homefront has an affiliate disclosure policy. The opinions, analyses, reviews or recommendations expressed in this article are those of the Homefront editorial staff alone (see About Homefront). Homefront adheres to strict editorial integrity standards. The information is believed to be accurate as of the publish date, but always check the provider’s website for the most current information.
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