A recent article in Consumer Reports reported how seniors and their families lose $3 billion a year to con artists. But reputable companies also succeed in avoiding reimbursing their clients.
After Hurricane Sandy a major insurance company was fined for not providing coverage, but the fine was less than the billions they would have paid to their clients for flood damage.
Like the residents in Sandy’s path, I thought I had a company I could trust. With 20 years of positive experience, I felt comfortable renewing my home warranty service. That good feeling came crashing down when my furnace failed in December.
Their serviceman told me the furnace was leaking CO2, so it was immediately turned off. The home warranty company provides an optional buyout in lieu of actual replacement – naturally less than what it would cost me to arrange, but you get your equipment replaced quickly and on your terms. They demanded a second (unheard) of opinion. It could have been up to two weeks before I got a new furnace.
This paper often encourages us to support local companies and that is what I did – thank you, Energy Services! I had my furnace replaced in only two days. Thanks to the mild weather, I got by with two space heaters.
The warranty service told me that since I did not get their second opinion they would not cover the cost of the new furnace. When I asked, “What would happen if our pipes froze”, the rep said it would “be an act of God” and not covered.
Ironically, two days later, I saw their online ad: “Pipe burst? …Have a plan.”
We are currently awaiting a response from their claim appeals department. A furnace was definitely not on our Christmas list, but we are warm and comfy.
