Both players also regained their Cricket Australia contracts as the country's new list of contracted players was announced - less than three weeks after becoming eligible for worldwide selection again after bans imposed for their involvement in the ball-tampering scandal in South Africa past year.
Australia's recent red-hot form has been built on the back of a rock-solid opening partnership between skipper Aaron Finch and Usman Khawaja.
Hazlewood and Handscomb were instead named in Australia's "A" squad for their tour of England starting in June, which will provide opportunities for players to make their case to be included in the Ashes squad. Warner has so far amassed 400 runs in only eight outings at a superb average of 80 and looks set to be the main player for Australia in the World Cup.
They were eligible for the final two games of Australia's recent limited-overs tour against Pakistan, but selectors preferred that they eased themselves back at the Twenty20 Indian Premier League.More news: Boston Celtics win Game 1 in defensive struggle vs Indiana Pacers
The Victorian's ability to keep wickets even had some pundits predicting he would take the gloves ahead of Alex Carey, but the South Australian has held his spot and is the sole gloveman in the squad.
Their selection means they could play their first global match since that ill-fated Cape Town Test on 1 June when Australia take on Afghanistan in Bristol in their World Cup opener.
Handscomb was seen to have a strong case for selection as he averaged more than 40 in 13 matches previous year and offers wicketkeeping coverage.
Mitch Marsh, who was Australia's test vice-captain as recently as October, has been omitted and has lost his CA contract but his brother Shaun Marsh has been retained.More news: Killed Since Fighting Broke out in Libya
"(Smith and Warner are) both ... world class players and it has been pleasing to see them produce some good form in the IPL".
Hohns said fast bowlers Mitchell Starc and Jhye Richardson have been named subject to fitness.
Australia will play one two spinner, Adam Zampa and Nathan Lyon, while playing two all-rounders, Glenn Maxwell and Marcus Stoinis.More news: Star Wars Vader Immortal VR Series Trailer Reveals Story, Gameplay
Hazlewood was the biggest name to miss out with Warner and Smith back into the Australia squad. Mitchell Starc, Jhye Richardson, Jason Behrendorff, Pat Cummins and Nathan Coulter-Nile are the five pacers.