Choice Home Warranty complaint: Suspected Ponzie Scheme, Sell Home Warranties and Pay little to No Claims

My complaint:

My name is Denny Huston and I purchased a three year Paid in Full Home Warranty plan from your company which is good thru 2025.

My experience with your claim service is a minus 100 !!!!

First, a couple of months ago we were hearing a very loud noise from our 2 to 3 year old Samsung Refrigerator and it kept us awake at night so we filed a claim. A service Technician came and acknowledged the noise and stated the compressor is going bad however until it actually quits working which will mean all of our food gets spoiled and ruined Choice WILL NOT cover the repair to the compressor which would then need to be replaced when it quits working.

The straw that broke the camels back is yesterday our Water Heater Ruptured flooding our back yard and pouring into our garage where the Water Heater is installed.

I was forced to file another new claim with Choice Warranty for the Water Heater however because you have up to 48 hours to schedule service, I called a plumber to at least come and shut off the water to the water heater so the water would quit running all over the place.

I got a diagnosis from that company ing the water heater had ruptured and the manufacture warranty had already expired on 08122022 so I filed a new claim 170105316.

Choice scheduled J.D. Service here in Schertz, TX to come and diagnose the problem so the claim could be processed and a new water heater scheduled for install ASAP.

Wrong…… Instead your claims department sent me an email stating that yes, the warranty from the manufacturer had expired but for me to still call them to see if they would still honor the now expired manufacture warranty.

This was all so Choice Warranty could in fact refuse to honor the warranty I had since the water heater is now covered under the Home Warranty contract.

To my complete surprise, A.O. Smith after my begging for their assistance in the matter did state they would replace the tank at no charge since it was just out of warranty however the home warranty coverage would still need to cover install costs and disposal costs of the ruptured tank so I notified Choice of the current status which is I now provided a service to Choice because you avoided the cost of the tank and only need to pay the labor costs and disposal costs of the old water heater.

To my complete Shock, I instead received an email to my updated status that since the Water Heater was going to be so generously replaced by A.O. Smith that your “SLIMY” company now is taking the position that since it was under manufacture warranty that nothing is covered under my choice warranty contract.

First of all, the manufacture warranty expired on 08122022 and was acknowledged by your own claim representative which sent me a statement that yes, it expired on 08122022 but since it was so close for me to call them and see what I could get done.

Second, the only thing I was able to convince A.O. Smith to do was allow me to pick up a new replacement tank from the local distributor however its up to my Home Warranty Company to pay all labor related costs, disposal fees etc etc.

In closing, Choice Warranty Company is my Home Warranty Company thru 2025. And I hereby DEMAND that Choice authorize J.D. Service to complete this service claim on Monday 08222022 as scheduled thru J.D. Service and to pay then any and all related costs to complete this service claim.

I’ve already paid the $65 Service fee required under the policy myself.

Suggested solution:

I want a Full Refund of the $1,260.00 Paid for a worthless Home Warranty.