Request Legal Help Now - Free


Customers Complain About Home Warranty Companies

. By
Oklahoma City, OKCustomers wanting peace of mind about their appliances and home repairs often turn to home warranty companies. Home warranty insurance, covering appliances, electrical repairs and plumbing issues, can provide important coverage in case something breaks down. But home warranty lawsuits, alleging bad faith insurance on the part of some home warranty companies, suggest that, as with any insurance or warranty, there are companies who would rather make as much money as possible than actually help their customers.

Among the complaints against home warranty companies are that they refuse or deny legitimate claims for dubious reasons. One reason often cited for denying a claim is that the appliance in question has a "pre-existing condition" or that the homeowner failed to properly maintain the appliance. The problem, homeowners say, is that the warranty company did not ever do an initial inspection of the appliance in question, so there should be no ground for a "pre-existing condition" denial.

Homeowners also state that home warranty companies often overrule the technicians they send out to repair appliances. In some cases, for example, a technician might notice an issue with an appliance that is not related to the appliance breaking down, such as a crack in the appliance. Even if the technician says the crack is not the cause of the appliance's failure, the home warranty company might deny a claim arguing that cracks are not covered by the warranty.

Customers say they are frustrated with constantly chasing down home warranty companies to have their appliances repaired, only to be treated poorly by customer service representatives.

"We have been cheated and treated badly throughout this whole ordeal, not to mention that [the home warranty company] wouldn't even let me cancel without the threat of being billed further," writes Sandra (real name withheld). "In the end (as it appears), we were treated badly and even rudely I would say, by the home warranty representatives and they had not one ounce of care, compassion or remorse."

Customers pay into home warranty policies with the belief that, should a legitimate claim arise, the home warranty company will cover the cost of the repair, not find ways to make a cheap repair or deny the legitimate claim. Lawsuits have been filed against some home warranty companies, alleging they practice bad faith insurance. Some of those lawsuits have been settled.


Home Warranty Insurance Legal Help

If you or a loved one have suffered losses in this case, please click the link below and your complaint will be sent to an insurance lawyer who may evaluate your Home Warranty Insurance claim at no cost or obligation.


Posted by

I paid for a home warranty through American Home Shield. I had a leak with my dishwasher. The plumber investigated where the leak was coming from. He called me to ask if he could cut some holes in my basement ceiling to try to find the source of the leak. I said he could and my renter watched him. When he came back the second time to fix the leak he could not find the shut-off valve which should have been easy to find since I clearly told him over the phone where it was located. He managed to fix the leak, but shut of the water at the kitchen sink and broke that shut-off valve. He then asked for some towels from my renters and did not tell anyone about the broken valve. He just stuffed towels under the leak and left. He did not leave paperwork or any indication that he was ever there. Late that night I had a huge leak in my house and fixed the shut-off valve under the sink. Now he is denying even putting holes in my ceiling, which I was told repeatedly that American Home Shield would cover. They even told me they put out a service request to have my ceiling fixed in my basement. It was not until several weeks later that American Home Shield informed me they did not believe that the plumber put the holes in my ceiling. They stated that anyone could have put those holes there. REALLY?!?! Do they think I put holes in my own ceiling to make more work for myself? Now the plumber is lying and American Home Shield will not finish the job. They told me I needed to get the plumber to admit to the holes. How am I responsible for that? I have photos and witnesses to everything and I am still getting denied. I have not even started on the broken valve leak which left a huge water stain in my ceiling. When this all happened I filed a complaint with American Home Shield explaining about the ceiling and the extra leak. However, now American Home Shield suddenly has no record of that. How can you prove any of this against a scam and liar.


Please read our comment guidelines before posting.

Note: Your name will be published with your comment.

Your email will only be used if a response is needed.

Are you the defendant or a subject matter expert on this topic with an opposing viewpoint? We'd love to hear your comments here as well, or if you'd like to contact us for an interview please submit your details here.

Click to learn more about

Request Legal Help Now! - Free