Skip to main content
Colorado General AssemblyToggle Main Menu
Agency NameToggle Agency Menu

Require Electric Options In Home Warranties

Concerning mandatory provisions in home warranty service contracts, and, in connection therewith, requiring a home warranty service contract to include terms allowing a homeowner to replace any of certain gas-fueled devices with a device that operates on electricity.
2023 Regular Session
Bill Summary

The act requires every home warranty service contract issued or renewed in Colorado on or after July 1, 2024, that provides coverage for the replacement of any of certain gas-fueled appliances to include terms:

  • Allowing the homeowner the option to replace the gas-fueled appliance with a similar device of the homeowner's choosing that operates on electricity rather than gas; and
  • Providing that the home warranty service company is required to provide a replacement appliance that satisfies statutory efficiency requirements.

A home warranty service contract may require a homeowner to pay any additional cost to replace a gas-fueled appliance with an appliance that has a cost that exceeds the cost of replacing the gas-fueled appliance with another gas-fueled appliance under the terms of the home warranty service contract, but any additional cost to the homeowner, excluding any installation or other associated costs, must not exceed the retail cost of the replacement electric appliance minus the retail cost of a replacement gas-fueled appliance.

In the case of replacement of a gas-fueled furnace, HVAC system, boiler, or water heater, a home warranty service contract must include terms that allow the homeowner to replace the furnace, HVAC system, boiler, or water heater with a heat pump-based system.

In the case of replacement of a gas-fueled stove, a home warranty service contract must include terms that allow the homeowner to replace the gas-fueled stove with either an electric stove or an induction stove, at the homeowner's discretion.

APPROVED by Governor March 31, 2023

EFFECTIVE August 7, 2023

NOTE: This act was passed without a safety clause and takes effect 90 days after sine die.
(Note: This summary applies to this bill as enacted.)


Became Law


Bill Text

Colorado legislature email addresses ending in are no longer active. Please replace with for Colorado legislature email addresses. Details

The effective date for bills enacted without a safety clause is August 7, 2024, if the General Assembly adjourns sine die on May 8, 2024, unless otherwise specified. Details