May 22, 2024
Atlanta, GA – (Highpoint Digest) – The Insurance and Safety Fire Commissioner John F. King announced on April 10, 2024, that, effective immediately, Choice Home Warranty was prohibited from selling or soliciting home warranty or service contracts in Georgia.
In March 2023, a Cease-and-Desist order was issued against Choice Home Warranty for failing to meet the surety bond requirements established under Title 33 of the Official Code of Georgia Annotated. The company had failed to post the required bond in the amount of not less than $100,000.00 despite previous warnings. This requirement ensures that Georgia consumers are protected in case a warrantor cannot pay out claims.
Georgia consumers who have purchased a home warranty or service contract from Choice Home Warranty will remain covered through the maturity of their purchase. Consumers are not required to take any action at this time.
Commissioner King offers consumers tips for purchasing home warranty or service contracts:
- Determine your needs – Not all products are the same, and some may not offer the protection you need.
- Shop around – Getting multiple quotes can help you find the lowest price for your product.
- Read before you sign — Never sign a contract without reading it first.
- Call the Consumer Services Division with any questions you have: 1-800-656-2298.
Source: Office Commissioner of Insurance and Safety Fire
Image courtesy of Choice Home Waranty
