Choice Home Warranty Review [2023]: Is This Coverage Worth the Cost?

INSURANCE - HOME INSURANCE
Choice Home Warranty offers service contracts that can help homeowners cover the cost of certain repairs or replacements when an appliance or home system breaks.
Last updated April 3, 2023 | By Taylor Medine
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When an appliance or system in your home breaks, a home warranty might help pick up some (or all) of the cost. Choice Home Warranty is a well-known company providing service contracts that cover appliances and home systems, such as your dishwasher or heating system.

If you’re considering Choice Home Warranty, here’s a rundown of plan options, fees, and what’s covered.

Choice Home Warranty Benefits

  • First month free
  • Protection for unexpected expense
  • 24/7 claims hotline
  • Network of over 15,000 technicians

In this Choice Home Warranty review:

Choice Home Warranty basics

Here’s what you need to know about Choice Home Warranty plans, service fees, and availability:

Choice Home Warranty
Plan options Basic Plan — coverage includes:
  • Heating System
  • Electrical System
  • Plumbing System
  • Plumbing Stoppage
  • Water Heater
  • Whirlpool Bathtub
  • Oven / Range / Stove
  • Cooktop
  • Dishwasher
  • Built-in Microwave
  • Garbage Disposal
  • Ductwork
  • Garage Door Opener
  • Ceiling and Exhaust Fans

Total Plan — coverage includes everything in the basic plan, plus:

  • Air Conditioning System
  • Refrigerator
  • Clothes Washer
  • Clothes Dryer
Monthly cost Depends on:
  • Location
  • Size of home
  • Level of protection
  • Type of home
Service fees $85 per claim
Availability 48 U.S. states, not available in California or Washington
Learn more

What is Choice Home Warranty?

Choice Home Warranty is a company that offers service contracts that can help pay for repairs when home appliances or major systems fail due to normal wear and tear. These items are not typically covered under a home insurance policy.

Founded 13 years ago, Choice Home Warranty has covered more than one million homes and handled more than three million service requests. The company is based in New Jersey and provides warranty contracts to homeowners across the country.

Choice Home Warranty offers two plans, the Total Plan and the Basic Plan. Both cover essential household appliances and systems, such as your cooktop and plumbing. Plus, you have the option to add on coverage for items like a pool or spa, central vacuum system, sump pump, septic system and septic tank pumping, and a second refrigerator or a stand-alone freezer.

How does Choice Home Warranty work?

Choice Home Warranty offers two coverage plans, which may cover the repair and replacement of new and old systems or appliances as long as they’re initially in working condition. You can purchase home warranty coverage as part of a real estate transaction or as a current homeowner.

When a covered item breaks, you can contact Choice Home Warranty 24 hours a day through your account online or over the phone to request service. Choice Home Warranty will schedule the service. There is a service call fee of $85 per claim, payable to the technician who comes to your home. The warranty coverage starts 30 days after you enroll, the policy is good for 365 days, and you may be able to renew at the end of the term.

What does Choice Home Warranty coverage include?

Contract coverage may vary depending on whether you choose the Total Plan or Basic Plan. Here’s what Choice Home Warranty could cover:

  • Washer and dryer
  • Built-in microwave
  • Cooktop
  • Dishwasher
  • Garbage disposal
  • Refrigerator
  • Ceiling and exhaust fans
  • Garage door opener
  • Air conditioning
  • Water heater
  • Electrical systems
  • Plumbing

For an extra fee, you can add on coverage for a pool, spa, well pump, central vacuum, freezer, or septic system. Additional coverage may be available for roof leaks as well. The roof coverage may include the repair of shake, shingle, and composition roof leaks, but there are conditions.

The roof coverage is only available for single-family homes and it doesn’t cover porches, patios, chimneys, partial roof replacements, or many roof-related items such as gutters. Also, the roof claim limit is $500 per contract. You can read the entire list of exclusions in the user agreement.

Another aspect to note is that Choice Home Warranty does not cover pre-existing conditions or damage due to misuse, abuse, or failure to maintain appliances. Rather, the contract is designed to help you cover system failure costs due to normal wear and tear. You also have to agree that the company’s liability won’t be more than $3,000 per contract item, which could be a drawback if the repair or replacement exceeds that amount.

How to get a quote from Choice Home Warranty

If you’re interested in shopping for a home warranty with Choice Home Warranty, you can request a free quote online. To do so, you’ll need to have the following information on hand:

  • Your name
  • Address
  • Property type (single-family, condo, townhouse, manufactured, duplex, triplex, or fourplex)
  • Square footage

If you have questions while filling out the form, you can call 1-888-531-5403. Choice Home Warranty doesn’t publish rates online but does say your quote will depend on your location, home size, the type of home you have, and the level of protection you choose.

To give you a general ballpark, an average home warranty costs $300 to $600 per year, according to Consumer Affairs. Add-ons could cost a few extra hundred dollars per year as well.

After receiving a quote and signing on the dotted line, Choice Home Warranty’s coverage begins 30 days after you enroll.

How to maximize your savings with Choice Home Warranty

Paying once rather than in installments could keep more money in your pocket. If you choose a single-payment plan, Choice Home Warranty may give you one month free.

Choice Home Warranty FAQs

Is Choice Home Warranty legit?

Choice Home Warranty is a legitimate company with many customers. While not accredited by the Better Business Bureau (BBB), it has been in business for the last 13 years. That said, the company does have some negative reviews. Reviews are one factor you should take into account before signing a contract with this company or any other that offers service contracts.

Which is better, Choice Home Warranty or American Home Shield?

Both Choice Home Warranty and American Home Shield are two popular companies offering service contracts for appliances and home systems. Which home warranty service is better for you depends on the coverage you need, where you’re located, and the quote you receive.

One difference between Choice Home Warranty and American Home Shield is that American Home Shield offers three packages — a systems package, appliance package, and combo package. This could offer you a bit more flexibility to choose what you need. Choice Home Warranty offers two packages that both cover a mix of home systems and appliances, which may include coverage that isn’t necessary, depending on your situation.

Pricing is another factor you can compare between companies. Choice Home Warranty charges $85 per service call; meanwhile, American Home Shield charges $75 to $125 per call, depending on the plan you choose.

Does Choice Home Warranty cover roof leaks?

Choice Home Warranty doesn’t cover roof leaks as part of the Total Plan or Basic Plan. However, you can purchase limited roof leak coverage as a plan add-on. The roof leak add-on covers the repair of shake, shingle, and composition roof leaks with limitations. It does not cover patios, porches, and certain materials. The claim limit for roof coverage is also $500 per contract. You can find an overview of the terms in the user agreement.

Do you need a home inspection to get a home warranty?

Choice Home Warranty doesn’t require a home inspection, but the website does say that a home inspection can’t hurt. Scheduling one could help make you aware of any pre-existing problems, which would not be covered under the service contract.

Is a home warranty the same as homeowner's insurance?

No. A home warranty is a service agreement from a company. In the contract, the company agrees to pay for certain home system and appliance repairs or replacements when they fail. It’s meant to help homeowners offset the cost of unexpected home repairs.

Homeowner’s insurance is an insurance policy that covers your dwelling and belongings in the event of theft or disasters, such as a fire or hurricane. A home insurance policy may also provide liability insurance that covers you and your family if you should damage someone else’s property. If you're interested in home insurance, check out our list of the best home insurance companies.

Bottom line

Even if you are budgeting for home repairs, they can pop up unexpectedly and derail your financial plan. A home warranty company could help you pay the bill if an emergency repair arises.

Choice Home Warranty plans may cover a wide range of appliances and home systems. However, as with any contract, you should read through the fine print and understand the terms before signing. Be sure to look for claim limits and read the service exclusions.

Before signing up for home warranty coverage, also consider checking the manufacturer’s warranties on your appliances because they may already offer you some coverage for repairs. This will help you decide if a home warranty is worth it for you.

Choice Home Warranty Benefits

  • First month free
  • Protection for unexpected expense
  • 24/7 claims hotline
  • Network of over 15,000 technicians

Author Details

Taylor Medine Taylor Medine is a freelance writer who's covered all things personal finance for the last seven years. She enjoys writing financial product reviews and guides on budgeting, saving, repaying debt, and building credit.