5 Key Things to Know Before You Sign with Choice Home Warranty
By Ben Carter
5 Key Things to Know Before You Sign with Choice Home Warranty
A home warranty can feel like a safety net, promising to protect you from the financial shock of a sudden appliance or system failure. Choice Home Warranty is one of the most visible names in this industry, but before you commit to a contract, it’s crucial to look beyond the marketing. At Consumer's Best, we believe an informed decision is the best decision. Here are the top five things you absolutely must understand about Choice Home Warranty before you sign up.
1. Understand the Two Tiers of Coverage
Choice Home Warranty primarily offers two levels of coverage: a 'Basic Plan' and a 'Total Plan'. The Basic Plan covers common items like your heating system, plumbing, electrical, and major kitchen appliances, but excludes others like your air conditioning, refrigerator, and clothes washer/dryer. The Total Plan includes everything from the Basic Plan plus those additional key items. It's essential to review the specific service agreement for the exact items covered and, more importantly, what isn't. Optional add-ons are available for things like pools, spas, and septic systems, but these come at an extra cost.
2. The Service Call Fee is Per Claim, Not Per Visit
Every time you file a new claim for a broken item, you will be required to pay a service call fee. This fee, typically between $85 and $100, is paid directly to the technician who comes to your home. It's important to know that you pay this fee regardless of the outcome. Whether the item is repaired, replaced, or determined not to be covered, the service fee is non-refundable. If a technician has to return for the same issue, you generally won't pay another fee, but a new, unrelated problem will trigger a new fee.
3. There Are Coverage Caps and Limitations
A home warranty is not a blank check for repairs or replacements. Choice Home Warranty, like all providers, has coverage limits outlined in their contract. For example, they may cap the total repair or replacement cost for a specific system or appliance at a certain amount, such as $3,000 per contract term. This means if your entire HVAC system needs replacement and the cost is $7,000, Choice would contribute up to their limit, and you would be responsible for the difference. Always read the fine print to understand these monetary limitations.
4. You Don't Choose Your Own Contractor
When you file a claim, Choice Home Warranty selects a service provider from its network of independent contractors to diagnose the issue. While this can be convenient as it saves you the trouble of finding a reputable technician, it also means you have no control over who comes to your home. The quality and responsiveness of these local contractors can vary significantly by region, which is a common source of both positive and negative customer reviews. You cannot hire your own preferred plumber or electrician and then seek reimbursement.
5. Reputation and Legal History Matter
Choice Home Warranty is a large and established company, but it has faced significant legal challenges, including a lawsuit from the Arizona Attorney General regarding its claims and business practices. It's also worth browsing customer reviews on sites like the Better Business Bureau to get a sense of common complaints, which often relate to claim denials, delays, and communication issues. While many customers have positive experiences, this history is a critical data point to consider. A truly informed decision involves weighing the convenience they offer against the potential service hurdles noted by other consumers. To see a full, unbiased breakdown, the experts at Consumer's Best have a detailed review comparing Choice Home Warranty to other top providers.
