Costco Home Warranty Review (2023)

Bradford Cuthrell is a meticulous researcher and writer specializing in pet and home finance topics. He's surveyed thousands of pet owners and homeowners, listened to hundreds of customer service calls from various home service companies and spoken with dozens of industry experts to understand homeowners' common pain points and needs.

Tori Addison is an editor who has worked in the digital marketing industry for over five years. Her experience includes communications and marketing work in the nonprofit, governmental and academic sectors. A journalist by trade, she started her career covering politics and news in New York's Hudson Valley. Her work included coverage of local and state budgets, federal financial regulations and health care legislation.

Costco is known for offering deals to its members, including generous sales on kitchen and laundry appliances and home furnishings. In this Costco home warranty review, see how purchasing a warranty can protect your appliances and electronics after purchase.

We at the MarketWatch Guides team have evaluated Costco’s warranty plans based on cost, ease of use and coverage options. Read our review to see what you should know about Costco’s available protection plans and compare coverage to the top home warranty providers.

Costco offers warranties with several layers of protection for different home items, earning 3.3 out of 5 stars based on our review standards. When used for appliance and electronic coverage, warranties deliver full repair replacement with no out-of-pocket cost for up to five years.

Qualifying purchases automatically include two years of coverage through Costco Concierge Services, and you can add three years of extended protection through Allstate. You must exhaust an item’s brand warranty before you can use Costco’s warranty. Generally, extended coverage costs between $90 and $400.

Note that Costco only offers services to members. You must have an annual Costco membership to buy an appliance from the store and obtain a warranty. If you want an extended warranty, you must buy coverage within 90 days of purchasing an item.

You receive plenty of benefits when you buy a warranty plan with your Costco membership, including 24/7 support, free shipping on parts and online claim processing. You can buy a warranty with an appliance or electronics purchase to cover the cost of certain repairs and replacements.

Costco appliance warranties run for two years, with the option to add extended coverage for three more years through Allstate, giving you five years of overall protection. Qualifying appliances include refrigerators, freezers, microwaves, washers and dryers. An appliance warranty will cover one item or a kitchen or laundry suite.

For electronics, Costco Concierge Services offers free technical support when you buy a computer. It automatically enrolls applicable items in a warranty program for up to two years from the date of purchase. You can buy additional Allstate coverage for three years.

Costco does not offer add-on coverage, so you cannot customize plans for your individual needs.

As with any warranty program, Costo’s protection has coverage exclusions. A Costco warranty plan may not pay for repairs related to accidental damage, normal wear and tear, or improper installation.

As previously mentioned, appliance warranties only apply to one item or an appliance suite. You also can’t add appliances you bought from other retailers to your Costco warranty coverage.

Applicable appliances are automatically enrolled in Costco’s Concierge program for free, offering two years of manufacturer coverage. However, you will have to purchase additional coverage if you want the three-year extended warranty.

The price of a Costco extended warranty depends on the appliance you buy but may range from $90 to $400. Warranties apply to specific items or suites, such as a set of kitchen appliances purchased together. Coverage costs may vary based on your location, but general prices are as follows:

Costco extended warranties, administered through Allstate, do not include deductibles or service fees.

Costco members can buy warranties in 49 states, excluding Alaska.

Customers who posted reviews online have had mixed experiences with the Costco extended warranty program. While some received quick fixes to issues with their Costco appliance, others rated the company’s service experience as unsatisfactory.

“[I] ordered a TV over two years ago at a warehouse and recently had an issue where it wasn’t showing pictures, only sound. I contacted Costco Concierge multiple times and no one picked up. Tried again and managed to speak to someone, only for that person to hang up on me [with] no callback. Tried again and [a representative] helped me book an engineer to fix my TV. The engineer contacted me, [I] told him the problem [and] had [an] email from Costco to return the TV for a full refund. Absolutely amazing 5-year guarantee. I just bought another TV and made sure I bought it from Costco.” —Nash via Trustpilot

“We purchased a new television from Costco and had a similar problem with the shipper. Costco helped us then, too. It refunded the handling and installation as a result of the shippers’ conduct. We installed the television and Costco was always courteous throughout. We are very happy with the television, and even though there were bumps in the process, Costco was reliable and professional. We’ve been members for decades and see no reason to change that.” —Customer via Trustpilot

“We ordered a washer and dryer to be delivered in February. [We had to convince] the delivery people to install it, even though it was clearly part of the purchase agreement — they said it was not their job. I made calls back and forth and they finally agreed after the Costco warehouse called them directly. They installed the washer but said they could not install the dryer and I would have to call Costco again. The next day, we learned they dropped off the wrong dryer. I reordered [a dryer] after talking with Costco staff and the person on the phone said I should expect it by March. I am in the process of looking for another option to buy a washer and dryer. I wasted hours of my time and was left for weeks unable to do wash.” —Mark via the Better Business Bureau (BBB)

“The Costco extended warranty program is a bad joke! I filed a claim for a Whirlpool washer, which has leaked from day one. The company that underwrites this sham program wants more and more unreasonable and meaningless documentation at each turn. The sole objective is to wear you down by back-and-forth communication, with the hope and expectation that you will just give up and float away. My washer has been deemed by an appliance repair professional as non-repairable, [I have submitted] this fact to no avail.” —Myron via the BBB

While a Costco warranty offers appliance protection for up to five years, you can also obtain home coverage with a home warranty plan. Compare Costco coverage with top home warranty providers using the chart below:

Overall, Costco offers solid warranty protection for appliances you buy at the store, whether it’s Samsung, Whirlpool or another brand. You can get extra protection to fix important appliances for up to five years. While Costco includes two years of protection for some appliances automatically, extended coverage may cost between $90 and $400 for three years of extended protection.

However, you can only purchase Costco extended warranties within 90 days of buying an appliance. You may be better off with a home warranty if you have older appliances or need coverage for electrical, plumbing or HVAC systems. We recommend checking out our top picks for home warranty companies, like American Home Shield and other companies.

Costco offers a two-year manufacturer warranty and three years of optional extended coverage for appliances and electronics. Warranty protection will cover repairs due to defects or failures for a total of five years.

You can file a claim with your Costco warranty in two ways. The fastest is to make a claim online through Costco’s website or Allstate. You can also call the hotline number to file a claim at 1-877-927-7268.

The price of a Costco warranty depends on the appliance you purchase and how much it costs. While the first two years of coverage are included for free, extended warranties can cost between $90 and $400.

While certain appliances and electronics include two years of manufacturer coverage, you may want to purchase extended coverage for your home investments. An extended Costco warranty can cover certain repairs and replacements for up to five years, which may be worthwhile for pricer appliances.

However, a Costco warranty won’t cover other items in your home like a traditional home warranty plan, so it may not be a good choice for those who need more widespread protection. You also need to be a Costco member to purchase an item.

Costco used to partner with Citi to provide an added warranty to cardholders, but the program has ended.

Our team created a comprehensive rating system to rank providers based on objective factors. We researched each company by speaking with company representatives, reading sample contracts, and analyzing and comparing consumer reviews. We deepened our research by gaining homeowner insights through surveys and focus groups.After collecting data, we scored each provider based on what matters most to homeowners: plan options, cost, trustworthiness, customer service, state availability, additional benefits and coverage specifics.Here’s the breakdown of how we scored each home warranty company on our list:

Bradford Cuthrell is a meticulous researcher and writer specializing in pet and home finance topics. He’s surveyed thousands of pet owners and homeowners, listened to hundreds of customer service calls from various home service companies and spoken with dozens of industry experts to understand homeowners’ common pain points and needs. When he’s not helping his readers make informed decisions, he’s reading a book a week, planning a camping trip or working on his novel draft.

Tori Addison is an editor with over five years of experience in the digital marketing industry. Her includes communications and marketing work in the nonprofit, governmental and academic sectors. A journalist by trade, she started her career covering politics and news in New York’s Hudson Valley. Her work included coverage of local and state budgets, federal financial regulations and health care legislation.