Thousands of Arizonans may be eligible for refund after $12 million settlement with Choice Home Warranty

12news
A $12 million settlement with Choice Home Warranty may provide refunds to thousands of Arizona homeowners who filed complaints about misleading practices.

Summary

Arizona Attorney General Kris Mayes announced a nearly $12 million settlement with Choice Home Warranty, the largest of its kind in state history, following over 1,500 complaints since 2013. Consumers alleged issues with coverage, deceptive sales tactics, and difficulties obtaining repairs. The company, while denying any wrongdoing, must now reform its sales practices to include clearer disclosures and end deceptive phone sales.

Eligible Arizonans who purchased home warranties over the phone between January 1, 2013, and January 1, 2023, for properties in Arizona may receive a refund. The Attorney General’s office will begin the claims process in the coming weeks. Veteran Philip Angelotti, who was featured at the press conference, highlighted the validation the settlement provides after paying for coverage based on celebrity endorsements, including George Foreman and Richard Karn.

Choice Home Warranty CEO James E. Mostofi stated the company is “pleased to reach a resolution” and emphasized that the agreement does not include an admission of wrongdoing or civil penalties, but will reimburse the state for certain legal costs.

(Source:12news)

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