Yes, Arizona residents who purchased Choice Home Warranty policies over the phone between 2013 and 2023 can claim a share of an $11.8 million settlement announced by Arizona Attorney General Kris Mayes on February 10, 2026. Eligible consumers can receive restitution up to the full purchase price of their warranty. This represents the largest settlement ever reached with a home warranty company in Arizona history, stemming from more than 1,500 complaints from customers who say they were misled about what their policies would actually cover.
The settlement applies specifically to customers who purchased warranties over the phone during the 10-year period from January 1, 2013, through January 1, 2023, for Arizona properties. To claim your share, you must complete an online form at www.azag.gov/consumer/chw on the Arizona Attorney General’s official website—only those who actually submit the form will be eligible to receive payment. This article explains who qualifies, how much you might receive, how to file your claim, and what the case reveals about deceptive practices in the home warranty industry.
Table of Contents
- What Prompted the Arizona Attorney General to Pursue Choice Home Warranty?
- Who Qualifies to Claim Money from the Choice Home Warranty Settlement?
- How Much Money Can You Receive from This Settlement?
- Step-by-Step Instructions for Filing Your Claim
- What Were the Specific Fraud Allegations Against Choice Home Warranty?
- Real-World Examples of Customer Problems with Choice Home Warranty
- What Happens Next and What to Watch For
- Conclusion
What Prompted the Arizona Attorney General to Pursue Choice Home Warranty?
The fraud lawsuit against Choice Home Warranty began approximately six years ago, around 2020, after the arizona Attorney General’s office received over 1,500 complaints from residents who felt they had been misled. The core allegation is that Choice Home Warranty’s telephone sales representatives failed to disclose important exclusions and limitations when selling policies over the phone, or actively misrepresented what repairs and replacements would actually be covered under the warranty agreements.
The complaints paint a consistent pattern: customers were promised comprehensive coverage for major home systems like air conditioning units and appliances, only to discover later that their claims were denied or that coverage didn’t include the specific problems they experienced. For example, a homeowner might have been told on a sales call that their AC replacement would be covered under a basic warranty plan, only to have a claim rejected when their system failed during Arizona’s extreme summer heat. These weren’t isolated incidents—the volume of complaints (over 1,500) suggests a systemic problem with how the company trained and managed its sales force.
Who Qualifies to Claim Money from the Choice Home Warranty Settlement?
To be eligible for this settlement, you must have purchased a Choice Home Warranty policy over the phone during the coverage period of January 1, 2013, through January 1, 2023, and the warranty must have been for an Arizona property. The settlement applies regardless of whether you actually filed a claim under your warranty—simply being a customer during this 10-year window puts you in the eligible pool. However, there’s an important limitation: you must actively complete the claim form at www.azag.gov/consumer/chw to receive any restitution.
The Attorney General’s office has stated clearly that “only those who complete the form will be eligible,” meaning passive waiting won’t work. If you purchased a Choice Home Warranty policy during this period but aren’t sure whether you did so over the phone or can’t locate your paperwork, it’s worth filing a claim anyway—the form process will likely ask you to provide information that can be verified. Keep in mind that the exact payment distribution date has not yet been determined, so while claims will be processed as funds become available, you should be prepared for a wait.
How Much Money Can You Receive from This Settlement?
Eligible consumers can receive restitution up to the full purchase price of their warranty policy. This means if you paid $500 for a one-year warranty, you could potentially recover the full $500. If you purchased multiple policies during the coverage period—say, different warranties for different years or different properties—you may be eligible to claim restitution for each separate policy, though you’ll need to provide documentation for each one.
The actual amount you receive will depend on several factors: the original price you paid for your policy, how many policies you purchased during the 10-year window, and how much of the $11.8 million pool is ultimately available after administrative costs. Because the settlement amount is fixed and there are thousands of potentially eligible customers across Arizona, individual payouts could vary significantly depending on the total number of valid claims submitted. If you purchased an inexpensive basic warranty and thousands of other customers claim higher-priced policies, your restitution might be reduced proportionally. This is a key reason to document your original purchase price if possible—having proof of what you paid strengthens your claim.
Step-by-Step Instructions for Filing Your Claim
To file your claim, visit www.azag.gov/consumer/chw on the Arizona Attorney General’s website and complete the online form. The form will ask you to provide information about your Choice Home Warranty purchase, including the dates of coverage, the approximate cost of the policy, and details about the property covered. Gather any documentation you have: original warranty agreements, purchase confirmations, bank statements, credit card statements, or emails confirming the sale. If you don’t have your original purchase documents, don’t assume you’re ineligible.
The Attorney General’s office will likely have records from Choice Home Warranty itself, and you can provide whatever information you remember about when you purchased the policy, the amount you paid, and what property it covered. If you’ve misplaced your warranty agreement entirely, submit what you have and note what documentation you’re unable to locate. The state has authority to verify claims against the company’s sales records. One important distinction: this online form is different from filing a claim with a claims processing administrator, which may come later if the company uses a third-party settlement claims administrator. Watch for official communications from the Arizona Attorney General’s office for any updates about claim processing procedures.
What Were the Specific Fraud Allegations Against Choice Home Warranty?
The core allegation centers on misleading sales practices during telephone calls. Choice Home Warranty’s sales representatives allegedly made false statements about what repairs and replacements would be covered—particularly regarding air conditioning units and major appliances like refrigerators, ovens, and water heaters. In Arizona’s climate, where AC replacement can cost $3,000 to $6,000, the difference between a warranty that covers replacement and one that doesn’t is enormous.
The company also failed to adequately disclose exclusions and limitations. For instance, a customer might have been told they had “comprehensive coverage” without being informed about specific limitations like age restrictions on appliances, prior condition exclusions, or deductible requirements. This is a critical distinction: not disclosing what *isn’t* covered is as problematic as misrepresenting what *is* covered. Notably, Choice Home Warranty has denied the allegations and has not admitted any wrongdoing as part of this settlement agreement—a common structure in settlement negotiations where a company pays to resolve disputes without formally admitting liability.
Real-World Examples of Customer Problems with Choice Home Warranty
One scenario that likely factored into the 1,500+ complaints: a homeowner purchases a Choice Home Warranty policy over the phone in the summer of 2019, is told their central air conditioning unit is covered for replacement, pays $400 for the annual policy, then files a claim in August 2020 when their system fails. The company denies the claim, citing either a pre-existing condition exclusion not mentioned in the sales call or claiming that their particular unit model isn’t covered under the policy terms.
The customer is left paying $4,500 out of pocket for an AC replacement during peak season when service calls are expensive. Another common complaint pattern: customers purchase warranties for appliances like refrigerators, thinking the policy covers compressor failure or other major repairs, only to discover that the warranty has a $300 deductible, only covers parts (not labor), or explicitly excludes the specific component that failed. The mismatch between what was promised verbally and what’s written in the fine print created thousands of frustrated customers—which is precisely why the Attorney General’s office pursued this case with such focus.
What Happens Next and What to Watch For
The restitution claims will be paid as funds become available, though the exact distribution date has not yet been determined. This means the Attorney General’s office will likely begin processing claims immediately once the online form launches or after a deadline closes, but actual payments may take months to distribute. You can contact the Arizona Attorney General’s Consumer Protection Office directly for updates: Phoenix office at (602) 542-5763, Tucson office at (520) 628-6648, or toll-free at (800) 352-8431.
Looking ahead, this settlement may influence how home warranty companies operate in Arizona. The fact that it’s the largest settlement ever reached with a home warranty company in state history sends a message about the seriousness of misleading sales practices, particularly in industries where customers are at a significant information disadvantage during telephone transactions. Other Arizona residents who purchased home warranty plans from other companies and believe they were similarly misled might consider filing complaints with the Attorney General’s office, as this case demonstrates that such complaints can lead to action and recovery.
Conclusion
The $11.8 million Choice Home Warranty settlement represents a significant recovery opportunity for Arizona residents who purchased policies from the company between 2013 and 2023. To claim your share of this settlement, you must complete the online form at www.azag.gov/consumer/chw—simply having been a customer isn’t enough; you must actively submit your claim to be eligible. Based on the settlement amount and the number of complaints received, individual restitution amounts could range from a few hundred dollars to several thousand, depending on what you originally paid for your warranty.
The most important action to take now is to file your claim while this settlement is being processed and before any deadline passes. Gather whatever documentation you have about your purchase, visit www.azag.gov/consumer/chw, and complete the form. If you have questions about eligibility or the process, contact the Arizona Attorney General’s Consumer Protection Office at (602) 542-5763 in Phoenix, (520) 628-6648 in Tucson, or (800) 352-8431 for other areas. Don’t wait—settling claims often involves deadlines, and funds are distributed on a first-processed basis.