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Choice Home Warranty / water heater

NY, United States Review updated:

I was looking to switch home warranty companies because the one I was with raised their rates substantially. BIG MISTAKE! It's true that you get what you pay for. So I called Choice Home Warranty in March 2009 and spoke with a representative. He told me that for $330.00/year everything would be covered. I remember even questioning the hot water heater issue because I've had a couple of them go out on me before and he assured me there would be no problem with replacement. Well my water heater went out on me in August, on a Friday evening of course, so I called CHW and spoke with a dispatcher. She gave me the number to a designated service contractor, which I called and he ended up calling me back 45 minutes later - great customer service. The plumber came out at 7:00 am the following morning and stated that the tank definitely needed to be replaced as it was leaking from the bottom. The tank was purchased & installed in 2001. He called CHW to give them the diagnosis and they told him they will only authorize $100.00. WTF? $100.00 doesn't even cover the labor to install a new water heater. He said he spoke to a couple different individuals and was told CHW's corporate offices were closed on Sat/Sun and he reached the dispatch service and they could only authorize $100.00. So he gave me a choice: I could either wait until Monday to see what CHW would actually authorize or I could give him a check for $450.00 ($550.00 was the total amount for the water heater & installation/labor) and he would hold my check until he or I heard back from CHW. So I chose the second option of course; I didn't want to go through my entire weekend without hot water! The plumber then informed me that I would also have to pay the $45.00 service call fee. I forgot to mention in the beginning of this complaint that when I signed up w/CHW, I was told that since I paid in full that day my first service call fee would be waived. When the plumber called the dispatch service to verify this, they had nothing on record to confirm this - of course. He replaced my water heater and I gave him my $450.00 check hoping that the $45.00 service fee would be waived. He also told me he would contact CHW first thing Monday morning to give them the information and he in turn would call me with their resolution.

He contacted CHW and got the run around - someone will call him back after the claim was reviewed. About 4 hours later, I called the plumber to see if anyone called and he said no. I proceeded to call them three times and got the same response. Finally someone did call me back, a gentleman but I didn't get his name. Long story short - they will not cover the water heater because it clearly states in the contract 6.3.3. Water Heating: This agreement covers all modules, components and parts of the water heating system necessary to the functionality of the water heater systems. This agreement does not cover the following list of modules, components and parts relating to the water heating system: holding tanks, storage tanks, fuel storage tanks, vents, flued, drain pans, drain piping, pressure reducing valve, internal flue, draft hood, flue baffle and tempering valve.

Are you kidding me??? This is completely contradictory to what they said they would cover in the first sentence! Basically, they don't cover anything to do with the water heater except the functionality parts, which is basically the entire water heater. They did, however, live up to their promise that my first service call would be free so I didn't have to pay $45.00. But I had to pay $450.00 + my $330.00 annual fee to get a new water heater! So I got a brand new water heater for $780.00 - what a great deal, NOT! This company is a complete rip-off and will tell you anything to get your $330.00 but then will not cover anything. Do yourself a favor and DO NOT go with this company.

Oh yeah, I was also told when I first signed on with Choice that since I was paying in full not only would they waive my first service call fee that they would also extend my contract from 12 months to 14 months for no additional fee. Guess what? When I finally got my contract from them, the contract expiration date was April 2010 and it should have been June 2010. So I called up Choice and informed them of this and they said they would send me a new contract immediately reflecting this information. Guess what? I NEVER received a new contract. I even called them a month later requesting a new contract and STILL never got a new contract. Surprise, surprise!

I base this complaint also on the fact that my previous home warranty company did in fact pay for the replacement and installation of a brand new water heater when I had one fail in another home of mine; all I had to pay was the $50.00 service fee.
Choice Home Warranty are a bunch of crooks and I cannot wait for my contract to expire so I can find another company, hopefully an honest one. By the way, take a look at the BBB grade on this company; it's a D-!

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Comments

  • Fe
      May 19, 2009

    DO NOT USE "Choice Home Warranty" for your home warranty service. They will always find a way to see that they don't honor the warranty. I have used other companies, but this is not a noble warranty. They are out to get your money and don't honor the agreement.

    I have had three claims with Choice Home Warranty, but all the service contractors that came to my house always complain about the company and are not happy to be servicing their call.

    In this occation, my water heater started licking and I called for service. The service contractor came and checked out my water heater and promised to come back the next day. When I did not see him, I called him and asked him why he has not come back yet. He told me that he was still waiting for an approval from the warranty company. I called the warranty company and they told me that they were not gong to fix my water heater. They claimed that the service contractor said that my water heater is licking due to rust that may have developed inside the heater. How on earth can anyone tell that for sure that there is some rust inside a water heater without cutting it open and taking a look. To Choice Home Warranty, this is an excuse to deny your claim and save few bucks. They flat out denied my claim.

    I tried to talk to them, and after talking to this same lady that always answers the phone, I requested for the manager who came out after a long time and well briefed to repeat to me the exact same thing that the first lady already had told me without tring to reason with me as a manager. After about 45 minutes of talking, he agreed to call the service contractor to see what more he has to say about the issue. Even if they fix my water heater and give me $1, 000.00, it is not worth the pain with this company. This is not a warranty company, it is a scam company under the name "Choice Home Warranty".

    0 Votes
  • Yv
      Oct 06, 2009

    This is an extremely awful company that wont even allow me to cancel my warranty and get a refund. I have reported them to the BBB. Their rating is now an F

    0 Votes
  • Fe
      Nov 05, 2009

    Do not believe what this guy is saying. Choice Home Warranty always use sweet pre-printed words when you challenge their denial decision. Try to file a claim and you will get the usual response, DENY. They always will find a way to deny your claim. This is not a legitimate company, but a scam company. -- DO BUSINESS WITH THEM AT YOUR OWN RISK.

    +1 Votes
  • Ad
      Feb 17, 2010

    Even though I just received a renewal notice from Choice Home Warranty, I will absolutely not renew. Sometime ago my hot water heater began leaking and showed serious signs of wear (mainly due to age of the water heater). CHW sent a technician to my home and determined that the water heater leak was a result of internal malfunctioning of the internal operating parts. This fact was further solidified when I found out that the internal thermostat was also malfunctioning. JOHN a senior representative of CHW concluded, based on his (JOHN"s opinion) and ignoring the findings of the technician, that the water heater was leaking due to causes "not covered in the TOTAL PLAN COVERAGE which I had purchased (at an extra premium). I was forced to purchase a new water heater without the help or service from CHW. The local technician who was sent by CHW remarked that the water heater should have been covered under warranty without question. I would warn anyone from seeking a contract with this company.

    0 Votes
  • Sa
      Mar 05, 2010

    I agree with all this. Unfortunately, I've just come to find out now. I went without a water heater the whole weekend waiting for CHW to approve the replaced. AND then come to find out on Monday it's not covered. The terms state they will cover parts labor and replacement. However, everything noticed in the exceptions is basically all water heaters. What kind of BS is that! HA! I strongly recommend not to do any business with them, learn from my mistake. Too bad I didn't' see this link until I started to do some more investigation.

    0 Votes
  • Jj
      Apr 14, 2010

    You are not the only one with problems from this company. Please check out my group - Choice Home Warranty Claims. They are formerly out of NY.

    0 Votes
  • Br
      Aug 03, 2012

    I too am a Heating and Air Contition & Pool company did over $5000.00 worth of this company CHW and as other contractors wasn't getting paid after the first 30 days they told me I would have payment with in 45 days needless to say that never happen for any Contractors, Customers do not use this so call Company ( ESC)

    0 Votes
  • Rr
      Dec 04, 2018

    My 9 year old water heater burst on Saturday morning, causing water to flood several of my rooms. While the insurance will cover the flood damage, I was positive that CHOICE HOME WARRANTY will replace my water heater, like other Home Warranty companies like American Home Shield and Texas Home Warranty have done in the past. Wrong! The technician they sent over said that the claim was DENIED because the company does not cover LEAKS! I said it is not just a leak, it burst! He said well, technically that is considered a leak! I a going to appeal, but reading all the reviews here, I think I know what the outcome will be. I will keep you posted.

    Please DO NOT sign up with this company because they are just a scam!

    0 Votes

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