Costco Home Warranty Review (2024)

By Tamara Jude Updated January 29, 2024

Costco home warranty plans offer extended appliance protection for Costco members. Service contracts include manufacturer warranty protection and an extended appliance warranty option, providing extra customer assurance. Although plans differ from what the best home warranty companies offer, Costco’s plans provide exclusive protection for Costco products. 

Learn more about Costco Home Warranty and its plan pricing, options, inclusions, and more.


Fast Facts About Costco Home Warranty


Benefits and Drawbacks of Costco Home Warranty

We appreciate that Costco home warranty plans don’t require a service fee or deductible. We also like that they cover all appliance parts. However, these home warranty plans are exclusive to Costco members and Costco appliances only. Here are Costco Home Warranty’s benefits and drawbacks:

Benefits

➕ Covers all appliance parts
➕ Doesn’t require service fees or deductibles
➕ Provides 24/7 customer support 

Drawbacks

➖ Doesn’t offer protection for major home systems
➖ Limited to a single appliance or suite 
➖ Offers coverage to Costco members only


Costco Home Warranty Coverage Options

Costco offers three home warranty plans specific to major home appliances: the Appliance Suite, Kitchen Suite, and Laundry Suite. Each plan, offered through SquareTrade, provides up to five years of coverage for a brand-new Costco appliance. You must hold a current Costco membership to purchase the appliance and receive the Costco extended warranty.

The first two years include coverage through Costco Concierge Services. This is Costco’s version of a manufacturer’s warranty and is available with all of its major appliances. You can also opt for three years of extended appliance coverage through Allstate. You must add this extended coverage within 90 days of receiving your new appliance. While researching the Costco coverage plans, we learned the company doesn’t offer a sample contract—this is rare among home warranty companies.

All plans include these features:

These plans differ from traditional home warranty coverage because they exclude home system coverage, such as HVAC or plumbing, and limit protections to Costco-only appliances. Most home warranties don’t place retailer restrictions on their coverage. 

We’ll go into more detail about each available plan below.

Appliance Suite

This appliance protection plan offers coverage for one new Costco appliance. You can cover a single dishwasher, dryer, freezer, microwave, range, refrigerator, or washer.

Kitchen Suite

This plan extends the five-year warranty for up to four kitchen appliances. The appliances must be purchased together. Eligible appliances include the following:

Ineligible appliances include air purifiers, countertop microwaves, and laundry pedestals. Any items purchased separately require an individual warranty.

Laundry Suite

This plan only covers a clothes washer and dryer. Both items must be purchased within the same time frame to qualify for plan protection.

Optional Add-Ons 

Our team checked the details of each coverage plan and learned that Costco doesn’t offer additional add-ons or upgrades.


Costco Home Warranty Pricing

Below is a breakdown of the available Costco Home Warranty plans:

Coverage PlanCost

Appliance Suite (Under $1,000)

$89.99

Appliance Suite ($1,000–$2,000)

$119.99

Appliance Suite ($2,000+)

$159.99

Kitchen Suite (Under $2,000)

$174.99

Kitchen Suite ($2,000–$4,000)

$299.99

Kitchen Suite ($4,000+)

$399.99

Laundry Suite (Under $2,000)

$174.99

Laundry Suite ($2,000+)

$219.99


Costco Home Warranty Coverage Caps

During secret shopping, we discovered Costco doesn’t include coverage caps for covered items, but you’ll receive certain protections depending on the plan. For example, the Appliance Suite and the Kitchen Suite have a $300 coverage limit for spoiled food due to mechanical failure. With the Laundry Suite, you receive up to $50 for laundry services if repairs aren’t completed within 14 days. These coverage perks fall under the Allstate protections during your final three years of coverage.


Costco Home Warranty Exclusions

There are several coverage limits and exclusions in the Costco plans. You won’t receive coverage for the following conditions:

Although plan coverage is transferable if you sell your appliance, you can’t transfer plan coverage from one item to another. You also can’t add appliances purchased from other retailers to a Costco home warranty plan.


Costco Home Warranty Reviews

Costco maintains an A+ rating with the Better Business Bureau (BBB). However, limited customer reviews speak specifically about its home warranty plans. In the reviews we did find, customers expressed frustration over receiving warranty replacements and lack of customer support.

Here’s a sample of the Costco Home Warranty customer reviews we found:

“Costco logistics and Costco concierge are a disaster. The appliances are already out of warranty when Costco sells them, so when they break, then you have to deal with the manufacturer. Costco logistics and Concierge services wasted about 9 hours of my time, over a week, to try to get a replacement for a defective $1100 range. Not worth it.” —Kristin S. via TrustPilot

“I purchased a TV that came with an extended warranty. Unfortunately, I spent several days speaking with Costco Concierge, and each time they sent me an email requesting a reply with photos, but their system has been down so it was unsuccessful. I spoke with the supervisor, and he did the same and sent me a new request, but I would get the same error after sending the reply. I haven’t gotten my issue sorted yet and still need help. It’s like there is a loop, and it never ends. As an executive member, I’m so disappointed and frustrated and will never buy electronics from Costco. They don’t care about their customers anymore.” —Ben B. via TrustPilot


Our Recommendation

A Costco home warranty plan is an excellent benefit for Costco members seeking added appliance protection. However, these plans offer the same benefits as typical home warranty coverage and are only available for Costco purchases. They don’t cover your existing appliances or home systems. We recommend considering one of the companies in the panel below if you’d prefer more comprehensive home warranty coverage.


Costco Home Warranty FAQ

How do I file a claim for my Costco home warranty?

According to the Costco website, you can file a claim online 24/7 at allstateprotectionplans.com/costco or by calling 1-877-927-7268. You must have your original receipt available for this process. Once approved, you’ll be scheduled for an in-house service visit from a preapproved technician or your chosen provider.

What warranty company does Costco use for its coverage plans?

Costco uses SquareTrade, an Allstate company, as its warranty company.

Can I cancel my Costco Home Warranty Plan?

Yes, you can cancel your Costco Home Warranty within the first two years for a full refund.


How We Chose the Top Home Warranty Providers

Our team reviewed and researched dozens of home warranty providers, thoroughly analyzed sample agreements, and identified customer pain points based on our analysis of customer reviews and interviews with industry experts. Our in-depth methodology outlines our review process to provide transparent information about the companies we review.

We determined that the following factors are the most important when comparing home warranty companies: available plans, plan coverage, price range, industry reputation, customer support, and additional features. Our research supported that plan coverage, customer service, and industry reputation should carry the most weight. While important, the other factors should not have as much influence when choosing a home warranty provider.