Table of Contents
In this Choice Home Warranty Review, We’ll Cover:
- Choice Home Warranty Awards, Customer Reviews, Complaints, and BBB Rating.
- Details and Cost for Choice Home Warranty Plans and Coverage.
- What to expect for Choice Home Warranty claims process time.
- Comparison of Choice Home vs. Select Home and American Home Shield home warranties.
Is Choice Home Warranty (CHW) the right choice for your home warranty plan in 2023? CHW stands tall as one of the largest companies in the industry, offering wide coverage for all your home appliances and systems. CHW prices are right there in line with the most affordable in the industry, starting at $46.67 per month with low deductibles. CHW’s Basic plan combines coverage for 14 appliances and systems!
Review Choice Home Warranty Awards
- U.S. News and World Report’s 360 Reviews rated Choice Home Warranty as one of the best home warranty companies for 2022
- HomeWarrantyReviews.com rated Choice Home Warranty #1 rated in 2020
- Today’s Homeowner awarded Choice Home Warranty “Best Home Warranty For Seniors,” attributed to their “offering of rates that are below the average for both system and appliance coverage.” This is particularly significant for seniors, as affordable pricing is crucial for older consumers, who often live on fixed or lower incomes and are often associated with social security.
- Choice Home Warranty ranks in the top 3 at TrustedCompanyReviews.com for Best Home Warranty in California.
With a nationwide network of over 25,000 licensed contractors, help is just a call away whenever you need it. There’s a reason why so many consumers trust Choice Home Warranty–size matters when it comes to home warranty plans! The only other home warranty company that comes close to CHW in terms of high customer ratings and reviews is Liberty Home Guard. At the BBB, Liberty Home Guard’s 2,300+ customer reviews have an average rating of 4.56 out of 5 stars.
What sets them apart?
Choice Home Warranty (CHW) is licensed in every state it operates in, including in California (CA) but under The Home Service Club of California, Inc. (‘HSCCA’).
Are there regulatory or licensing-related complaints against CHW?
We couldn’t find any complaints listed against CHW with the California Department of Insurance or other regulatory agencies.
To verify licensing and registration details for CA homeowners visit www.Insurance.CA.Gov.
However, how does CHW stack up against other top-rated home warranty companies? Turn to the Top 4 Best Home Warranty Companies List for 2023.
What Is Choice Home Warranty?
New Jersey-based Choice Home Warranty has handled more than 6 million service requests since 2009. Like most home warranty companies, CHW offers different prices and coverage options.
Customers can also choose special add-on options that allow them to cover extra items not included in standard plans. If an appliance, system, or other covered item in your home breaks down, you may be able to save on out-of-pocket repair or replacement costs by having one of CHW’s in-network service providers take care of the issue.
Choice Home Warranty offers some of the most affordable monthly plans among home warranty companies. At $85, the Choice Home Warranty service call fee is also on the lower end compared to competitors that go as high as $125 per call.
All work is backed by a 60-day guarantee. Choice Home Warranty also offers a rare 90-day guarantee on parts!
CHW’s Basic plan covers appliances and systems instead of making you automatically upgrade to get both the way that some home warranty companies do.
With coverage available in every state other than Washington, CHW has one of the most comprehensive networks in this industry.
The standard response time after filing a service request is four hours. Claims can be made on line 24/7.
Choice Home Warranty customers cannot choose their own service providers.
Add-on coverage options are pretty skimpy.
Choice Home Warranty has been sued by the Arizona Attorney General.
This is not a BBB-accredited company.
CHW offers just two plans.
Choice Home Warranty Review
With pricing starting at just $46.67, Choice Home Warranty is one of the industry’s most affordable home warranty companies. It’s also one of the only warranty providers to cover appliances and home systems across all its plans.
While the Basic plan is quite comprehensive compared to some of the thin introductory plans offered by competing companies, the list of appliances and systems offered under this low-cost plan excludes your refrigerator, clothes washer, and clothes dryer.
While the Basic plan includes all home systems, the “got you” part of CHW’s setup is that you’ll still need to jump to the Total plan to cover what many consider the three most important appliances in your home.
Choice Home Warranty coverage limits cap payouts at $3,000 per covered item. However, some optional covered items are subject to lower thresholds.
Choice Home Warranty puts a strong focus on customer service. CHW accepts claims 24/7 online.
Response time is also one of the fastest in the industry. With more than 25,000 affiliated contractors on call, CHW is also able to quickly dispatch pros to your home.
In addition to offering an impressive 60-day guarantee for workmanship, CHW will back your parts for 90 days.
Does Choice Home Warranty operate in California?
For California residents, Choice Home Warranty (“CHW”) has forged a strategic partnership with the Home Service Club of California, Inc. (“HSCCA”), a Licensed Home Protection Company authorized by the California Department of Insurance.
This partnership seamlessly integrates CHW’s cutting-edge, technology-driven home warranty administrative services with HSCCA’s offerings, resulting in the introduction of technology-enhanced home warranty solutions tailored to the needs of California residents.
Recognizing the increasingly pivotal role of technology in diverse aspects of home management, HSCCA acknowledges CHW’s advanced technological prowess and its remarkable 14-year history of administrative excellence. This recognition underscores the significant advantages this amalgamation brings to the residents of California.
Within California’s borders, service contracts under the CHW brand are issued and delivered by HSCCA, exclusively promoted through the Home Service Club of California Insurance Services, Inc.
It is imperative to highlight that Choice Home Warranties are not procurable for purchase within California, and CHW lacks the requisite licensing from the California Department of Insurance.
Nevertheless, the collaborative efforts of these two entities have propelled their services to secure a place in the coveted “Top 3 Best Home Warranties in California” list for 2023.
Choice Home Warranty Plans and Pricing
Choice Home Warranty Plan 1: Basic Plan:
Starting at $46.67 per month, CHW’s Basic plan combines coverage for 14 appliances and systems in one plan. Under this low-cost plan, homeowners can bundle the following:
- Heating system
- Electrical system
- Plumbing system
- Plumbing stoppage
- Water heater
- Whirlpool bathtub
- Oven, range, and stove
- Built-in microwave
- Garbage disposal
- Garage door opener
- Ceiling and exhaust fans
- Air conditioning system
Choice Home Warranty Plan 2: Total Plan:
For around $55 per month, the Choice Home Warranty Total plan covers everything in the Basic plan: your refrigerator, air conditioning system, and washer and dryer.
Choice Home Warranty vs. American Home Shield
With monthly rates ranging from $29.99 to $69.99 across its three plans, American Home Shield (AHS) requires customers to pay more for comparable coverage to CHW’s Basic and Total plans.
You’ll need to settle for just plumbing, electrical, heating, and cooling coverage without appliance coverage if you want to get AHS’s lowest price.
While the $69.99 plan is much pricier than CHW’s most expensive one, it offers comprehensive coverage that includes roof leaks.
The last big point is CHW’s 60-day workmanship guarantee versus AHS’s 30-day guarantee. AHS is available in every state other than Alaska.
Choice Home Warranty vs. Select Home Warranty
With plans ranging from $75 to $100, Select Home Warranty (SHW) is the pricier company. SHW also uses a model that offers an appliance-only plan (Gold Care), a systems-only plan (Platinum Care), and a third plan (Bronze Plan) that combines the coverages of both plans.
While SHW’s service fees, ranging from $75 to $100, are reasonable for the industry, they lack the predictability of the Choice Home Warranty deductible, a flat fee of $85 per service call. While SHW matches CHW’s 60-day labor guarantee, it doesn’t offer an equivalent to Choice’s 90-day parts guarantee.
Customers report that SHW requires a little more red tape when it comes to getting maximum payouts on covered items. Before a claim can be processed, SHW asks customers for proof of maintenance. Meanwhile, CHW will only ask for proof of maintenance if a customer chooses to dispute a claim denial.
Choice Home Warranty BBB Complaints and Reviews
When evaluating companies of Choice Home Warranty’s magnitude, it’s essential to consider BBB reviews and complaints in the context of the company’s size.
- Choice Home Warranty BBB Rating: The company currently holds a “C” rating with the BBB. While it had a “D” rating in early 2023, it has since improved to a “C” rating as several complaints have been resolved or dropped from its record. We believe in this instance, BBB is failing to recognize the size of the company in relation to the number of complaints submitted.
- Ratio of Complaints to Choice Home Warranty Customers and Service Requests: Choice Home Warranty boasts an impressive success rate of over 99% regarding customer satisfaction, as evidenced by this evaluation metric. The company has handled more than 6,600,000 service requests, with BBB complaints accounting for less than 0.5%.
Choice Home Warranty Complaints
In 2019, the Arizona Attorney General’s Office initiated a consumer fraud lawsuit against Choice Home Warranty. The Attorney General’s office alleged that CHW had made false claims to customers and had collected millions of dollars while imposing unfair payment caps, contract exclusions, and claim denials.
The lawsuit stemmed from customers’ complaints of being left without functional air conditioning during sweltering temperatures after requesting service through their CHW warranties.
It’s important to note that this lawsuit is still pending, and the company has not been proven wrong or guilty.
Choice Home Warranty Reviews on Google
While CHW has gotten into some hot water with lawsuits and a lack of BBB accreditation, real-world users give the company much higher ratings than one might think just by looking at the headlines.
Choice Home Warranty currently stands at 3.6 stars out of 5 based on 14,089 Google reviews. Trustpilot users give the company 3.7 stars out of 5 based on nearly 35,000 reviews.
Most of the negative reviews of CHW are tied to Choice Home Warranty HVAC coverage and Choice Home Warranty electrical coverage. Choice Home Warranty appliance repair reviews tend to be much more positive by comparison.
The big issue with poor Choice Home Warranty reviews and ratings seems to come down to the company’s handling of slow repairs and heavy denials for major systems.
A number of customers have shared that the company can be very slow to approve authorizations for repairs on heating and cooling systems. Others were upset to discover that the technicians dispatched to their homes were not equipped to do the work that needed to be done.
Finally, many reviewers were frustrated by Choice Home Warranty claim denial reasons that made them feel like their contracts misrepresented coverage.
Choice Home Warranty Coverage Details
CHW’s Basic plan covers 14 appliances and systems. This is one of the only companies that includes heating, electrical, and plumbing in the basic tier. While the Basic plan covers most of your home’s appliances, you’ll need to jump up to the Total plan to get your refrigerator, washer and dryer, and air conditioning covered.
CHW also allows you to purchase add-on coverage for specialty items. Optional coverage is available for the following:Extra freezer
- Second refrigerator
- Central vacuum
- Pool and spa
- Roof leaks
- Well pump
- Sump pump
- Septic system
- Septic tank pumping
Choice Home Warranty has some pretty hefty exclusion policies. Under the Choice Home Warranty pre-existing conditions clause, all regularly covered items are excluded from coverage if they have pre-existing issues. Coverage also excludes the following:
- Cosmetic items on appliances. This includes handles, knobs, and doors
- Maintenance services for air conditioning
- Sediment buildup in water heaters
- Reservoir tanks in water heaters
- Fire damage
- Storm damage
Full repair or replacement costs aren’t necessarily covered on covered items. CHW policies cap payouts for covered items at $3,000 per item per 12-month contract cycle. This cost includes access, diagnosis, repair, and replacement. Most add-on items are capped at $500 per claim.
Choice Home Warranty Claim Process
CHW customers can log in online to submit new claims 24/7. The online portal also makes tracking a claim’s progress easy. For customers who prefer to call, the claims department can be reached at (888) 373-7924. Choice will send an in-network service provider within 48 hours of receiving a claim. Customers can expect delays when claims are filed outside of normal business hours.
Choice Home Warranty doesn’t make guarantees for turnaround times on getting items repaired or replaced. While they will try to dispatch a tech to your home within 48 hours, the company cannot guarantee that the technicians will have the equipment, materials, or skills needed to take care of the problem on the spot. Your technician may also need to wait for authorization while CHW reviews your claim against what’s covered in your policy. Some customers find that Choice Home Warranty claims process time can stretch out for weeks.
Choice Home Warranty Customer Service and Support
Choice Home Warranty is one of the only home warranty companies to operate a 24/7 call center to help customers get their worries addressed around the clock. The general impression that customers have about CHW’s customer support team is that they are generally very helpful and responsive until there is some kind of hiccup in the claims process. While agents are extremely helpful when activating claims, customers say that they sometimes won’t hear back from reps for days or weeks while authorization is pending.
While claims can be filed online, you’ll need to call the customer service phone number to activate the Choice Home Warranty cancellation process. Customers are free to cancel at any time.
However, your refund will be prorated. CHW will deduct the amount for any services you’ve used. If the dollar amount for the services provided to you prior to your cancellation date is greater than the amount you’ve paid in contract fees, you’ll actually owe CHW money.
There’s also a $50 cancellation fee.
Choice Home Warranty coverage transferability allows you to transfer coverage at any time with no additional fees or penalties.
Choice Home Warranty Contractor Network
CHW’s network of more than 25,000 contractors is one of the largest in the industry. Contractors that provide services for CHW act as independent contractors.
Unfortunately, the company provides very little information regarding how it selects and approves contractors for its networks. This makes verifying Choice Home Warranty contractor quality difficult. We were able to find out that all technicians must meet the minimal requirements of having a current trade license, carrying general liability insurance, and possessing automobile insurance.
Frequently Asked Questions
Is Choice Home Warranty a ripoff?
While there are many negative Choice Home Warranty coverage reviews online, this is a legitimate company that honors contract details for covered items. For homeowners looking to avoid unexpected costs totaling up to $3,000 per year for major appliances and systems in the home, a plan could provide peace of mind. However, it’s important to look closely at contract details to avoid overestimating your coverage.
Is Choice Home Warranty worth it?
For homeowners with older appliances that don’t have pre-existing conditions, CHW could help you to avoid some unexpected repair costs. However, people with high-end appliances may find that the coverage caps are too low to make a big dent.
Is Choice Home Warranty worth it, according to customer comments on Reddit?
Choice Home Warranty customer testimonials on Reddit show that many users feel that a plan isn’t worth the money due to the company’s track record of high claim denials. However, there are several Reddit stories of Choice Home Warranty making the maximum payment on covered systems and appliances when those items needed to be replaced. The end result is that customers get to save $3,000 off the cost of replacement for big-ticket items.
Choice Home Warranty vs. Landmark Home Warranty – Which plan is best?
Landmark Home Warranty was recently acquired by American Home Shield. While existing customers are grandfathered in, anyone inquiring about signing up for a Landmark plan is being directed to American Home Shield.
How do I buy a home warranty from Choice Home Warranty?
In order to sign up for a plan, you’ll need to visit the Choice Home Warranty website to fill out a form to request a quote. CHW will use your home details and location to provide you with a personalized quote. You can also call 1-800-495-6090 to start the quote process over the phone.
How do I file a claim with Choice Home Warranty?
Claims can either be filed online or over the phone. Choice Home Warranty lets customers file claims 24/7.
How long does it take after a claim is made for a technician to come?
Choice Home Warranty’s policy is to dispatch technicians within 48 hours of receiving a claim. Your service may be delayed if you submit a claim on a weekend or holiday.
Does Choice Home Warranty cover roof leaks?
While Choice Home Warranty’s main plans don’t cover roof looks, you can purchase add-on coverage for limited roof leak coverage.
Does Choice Home Warranty cover mold?
Mold is not covered under any CHW plans.
Does Choice Home Warranty cover water damage?
No, water damage is not covered.
Does Choice Home Warranty cover termites and insects?
CHW plans will not cover damage caused by insects or pests of any kind.
Does Choice Home Warranty cover theft?
Theft is specifically listed in Choice Home Warranty’s list of excluded items.
Does Choice Home Warranty cover damage from trees?
Tree damage is not covered.
What additional home warranty coverages are offered by Choice Home Warranty?
If you’d like to cover more than just basic home appliances and systems, Choice Home Warranty add-on coverage can be purchased to include your second refrigerator, central vacuum, pool/spa, well pump, sump pump, septic tank, and septic pumping. Limited add-on coverage is also available for roof leaks.
Does Choice Home Warranty have customer complaints?
While Choice Home Warranty has decent customer reviews on Google and Trustpilot, the company has been subject to serious complaints from customers. The Arizona Attorney General filed a lawsuit against the company for unfair practices in 2019.
Choice Home Warranty Rating Breakdown
|Criteria||Choice Home Warranty|
|Lawsuits and Complaints||7|
|Claims Processing Efficiency||10|
Home Warranty Industry Rating Criteria
|Criteria||Description||Total Possible Points|
|BBB Rating||A+ = 10, A = 9, A- = 8, B+ = 7, B = 6, B- = 5, C = 4, D = 3, E = 2, F = 1, No industry license = 0||1-10|
|Customer Reviews||Average weighted rating across multiple sources, including BBB, Best Company, U.S. News 360 Reviews, Consumer Affairs, Google Reviews, TrustPilot, Investopedia, and MarketWatch.||1-10|
|Lawsuits and Complaints||Complaints and lawsuits, resolution, responsiveness, and client-to-complaint ratio.||1-10|
|Cost||Based on Total Cost, Monthly and Service Fees||1-10|
|Coverage||Points awarded for covering all major home system and appliance components, along with pre-existing conditions.||1-10|
|Claims Processing||Ease of filing claims and efficient claims processing.||1-10|
|Customer Support||Availability of 24/7 support, response time, and friendliness of customer service.||1-10|
|Extra Features||Points for high-quality add-on coverage options.||1-10|
|Reviewer Opinion||Includes the reviewer’s opinion, taking into account time in business, overall customer reviews, financial stability and transparency (as highlighted below)||1-20|
|Financial Stability||A financially stable company is more likely to honor its commitments.|
|Transparency||Is the company transparent about its terms and conditions? (online, through sales and contracts)|
- Arizona Attorney General, Kris Mayes, AG Brnovich Files Consumer Fraud Lawsuit Against Home Warranty Company, https://www.azag.gov/press-release/ag-brnovich-files-consumer-fraud-lawsuit-against-home-warranty-company
- Choice Home Warranty BBB Profile Page, https://www.bbb.org/us/nj/edison/profile/home-warranty-plans/choice-home-warranty-0221-90048733
- TrustPilot, Choice Home Warranty Reviews, https://www.trustpilot.com/review/www.choicehomewarranty.com
- Choice Home Warranty website, What’s Covered, https://www.choicehomewarranty.com/whats-covered/
- FairShake.com, How to cancel your account with Choice Home Warranty, https://fairshake.com/choice-home-warranty/how-to-cancel/
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