ALMOST bought an American Home Shield Warranty...

EarlyPorsche · 08-16-2010, 08:05 PM

My house is not old but I feel like a warranty for the appliances and fixtures would be wise considering its about that age that things *could* go wrong. I just had to have my AC units all repaired as I mentioned and I don't want the same mess if another appliance goes south (think water heater, heater, electrical or others). I know two people that have the the AHS warranty and are happy (but they haven't really had issues compared to the premiums they've paid). I just found out about their class action law suit and I said to myself "NO WAY!!!"

So I'm still in the market for a warranty. Are there any home warranty companies that will cover contractors that aren't sent by them? AHS sends their own contractors and from what I understand try and do the minimum or pay as little as possible. I may have this policy for 20 years and never use it, but if I have a problem in 6 months I don't want to be treated as a second rate customer.

What home warranty's work?

EarlyPorsche · 08-17-2010, 03:50 AM

The worst part could be that I left a number with her to try me again to see if I'd be interested today...needless to say I am still looking for a reputable home warranty company instead of AHS.

Sunroof · 08-17-2010, 04:28 AM

I have had American Home Shield for almost a decade. Within that time my furnace failed and they replaced the entire unit, they repaired a leaking bathtub with subsequent water damage and fixed a busted hot water heater. My deductible? $50.00 per event! We received the class action suit info in the mail as well, read it and ignored it based upon our experiences with them to date. I figure they saved us thousands thus far. We took a basic package with them with a decent annual rate (under $275.00) and paid in several installments.

Yes, they have a list of local contractors they use, but they are all licensed or certified. Some are very popular shops here. Once we had a guy look at our AC unit and he was quite rude to my wife. As a result we complained and AHS took it very seriously.

I have nothing but good things to say about them. For the money its well worth it. One failed component can cost you big bucks without a good service contract protecting you.

my 2-cents

Bob

john70t · 04:44 AM

AHS Class Action Lawsuit Settlement
There are/were a few people unhappy with AHS.

(edit)I don't know about whether the costs of the warentee are worth it. We got a new fridge, dishwasher, and microwave for $1,100 during a sale, but a water heater or a/c could become big money.

For the hassle, it doesn't seem worth it. Better to pay local contractors with good reputations and know it's done right.

berettafan · 08-17-2010, 05:50 AM

Understand that people who have studied the market and the laws relating to the subject decided that they could make money betting against their customers on this.

Rick Lee · Rick Lee's Garage

I have an Old Republic home warranty and have been in this house since April. The warranty was $525 and paid for itself in the first two months. Now I'm just hoping they don't drop us and I can keep renewing until our 14 yr. old a/c goes out, which I'm told will run $6500 to replace.

Hugh R · 08-17-2010, 07:50 AM

Rick, depending on the A/C unit, they'll just replace the broken part; they can still get just about any parts they need, even for older units. So you aren't going to get a complete new A/C system if that is what you're holding out for.

Rick Lee · Rick Lee's Garage

Sure, they can still get the parts now. But those parts are drying up and can no longer be made. There is a clause in the contract stating they will spring for a new 410 unit if necessary.

Eric Coffey · 08-17-2010, 03:40 PM

Yep, Old Republic is who I've used over the years. It can be beneficial to get in good with an account manager/supervisor.

EarlyPorsche · 08-17-2010, 09:28 PM

I honestly can't figure this out. Everything is working perfectly at the moment. I still want coverage. Should I be purchasing a warranty from AHS or is it just asking for trouble? Seems like peoples experience after the class action suit is different from their experience before.

Sunroof · 08-18-2010, 04:29 AM

Early,
I would think that buying the warranty while everything is functioning is about right. It depends which coverage you take from AHS. We bought the basic package which does not include dishwasher, refridgerator, trash compactor, stove, etc, etc. We figured our AC/Heating units were the costliest to replace, next was plumbing and electrical. Like I stated earlier, our lower level furnace gave out and they came in took the whole unit out and replaced it (about 4K), no questions asked! They did a great job and we got a new unit.

Our experience thus far has been excellent with AHS. We have two separate heating and AC units (one upstairs), so for us it could cost 10K+ if we had multiple failures with very old AC units alone. Add older plumbing, hot water heater (already repaced by them), etc., and we have peace of mind and huge savings. AHS came through for us every time, so I am sold for what we pay for the protection. Anyways, if you ever decided to sell your home, having the warranty is a huge bargaining chip. If you do not go with AHS, at least try someone else. For home owners with older systems, its good insurance.

Bob