American Home Shield - BEWARE!

For those of you considering this service DO NOT, YOU WILL BE SORRY!

I signed up with American Home Shield (herein also referred to as AHS) on 08/09/07 and my first payment was charged to my credit card on 08/15/07 as agreed, and every month thereafter on time every time, without fail.

On the evening of 04/09/08 our water heater began to leak from the top of the tank. By the morning of 04/10/08 it began also leaking from the bottom. This of course meant that we had to turn off all hot water to our home. I contacted AHS on 04/10/08 at 11:08AM and they assigned a vendor (ARS Rescue Rooter) and I was contacted by ARS Rescue Rooter within an hour and told they would have a technician come out between 1:00PM and 6:00PM the same day. The technician arrived at 2:15PM and I took him to our crawlspace to surmise the problem. Before even making it to the water heater he shook his head and blurted out code violations (apparently the ARS Rescue Rooter illicit M.O.). To my surprise because I had just purchased the home 2 years prior and we had the crawlspace area thoroughly inspected. He made a call to AHS for approval and I waited to hear about coverage information. I was contacted by AHS within about 30 minutes, approximately 2:55PM. The AHS Rep. told me that they would cover the water heater because the problem was due to normal wear but he said that he was informed by the vendor that there were code issues in relation to the water heater that would cost an additional $900.00 out of pocket. I spoke with the technician and he stated that he could not perform ANY work without doing ALL the work due to County laws and ARS Rescue Rooter policy. I then asked the technician to provide me with a written copy of the estimate, to my shock he refused and stormed off (right across our new sod, as a mention to his mindset in regard to respect for clientele).

The proper protocol ARS Rescue Rooter (herein also referred to as ARS) should have followed as a professions is as follows; to resolved the water heater quandary; then the representative should have given me a detailed invoice (I was never given any detailed information in writing as requested) stating services performed by him/ARS Rescue Rooter and listed any concerns he felt should be addressed. He then could have pulled a permit or I could have as the home owner and any alleged code violations found upon inspection are STRICTLY the responsibility of the property owner, period. Certainly not a vendor hired to resolve an urgent situation issue by a Home Warranty Company. In truth there were no code violations as confirmed by an authentic professional and an inspector. The ONLY additional work possibly considered necessary, not under warranty by AHS, was the compression tank and that is only required if we upgrade the tank we currently had, not simply replace with a comparable item. By the way, the expansion tank is a $20.00 item retail if we had of requested a new one to be installed, and at no time did we request to have ARS to remove our old unit.

A very long story shorter; I contacted AHS to inform them of the misconduct, attempted extortion and exploitation of a client in a vulnerable situation. I was informed by AHS that I could opt for the Cash Out Option but I would have to wait. To add insult to injury AHS finally offered me a Cash Out offer of $165.00 to cover the cost of the water heater and the labor to repair it. I have since verified with the County and a legitimate plumber that the alleged code violation pointed out by the technician were in fact erroneous and I have had to have the problem repaired on my own at a total cost of $379.44 just for the water heater with labor, and this was at a substantially discounted price from a well known service provider. The lack of cooperation in resolving our issue from AHS is in direct violation of our agreement, resulting in our home having no hot water for four days due directly to the fact that we counted on AHS and as a direct result of providing a contractor (ARS Rescue Rooter) that practices illicit and unscrupulous business practices, preying on the vulnerable.

Please keep in mind that I am a GA State licensed Master Electrician and a GA State licensed Residential Real Estate Specialist. I deal with these types of situations daily with my clients as well as various trades and inspectors, including all local authorities. I have recommended American Home Shield many times in the past to clients because AHS paints such a convincing picture. American Home Shield - It seems like a good idea -- prepaid home maintenance, basically a service contract or extended warranty on your house. The AHS booklet states, Commitment to your total satisfaction, That is why we back every job we do with the unique money back guarantee shown on the back of your home warranty ... AHS guarantees that all approved covered service repairs will be completed to your satisfaction. If for any reason you are not satisfied with that service received, we will work with you until you are satisfied or we will refund the trade service fee. Unfortunately, I have found from many other consumers in researching AHS on the internet that too often AHS Home Warranty doesn't work out that way ... and when it comes time to deliver; AHS does not even make an attempt at providing adequate, competent service to their clientele at a time of need. I am now doing as much damage control as I feasible can in regard to rescinding previous recommendations for American Home Shield I have made to my clients.

Bottom line, I have been in no way compensated for the four days we were forced to live with cold water only in our home due directly to negligence on the part of American Home Shield. Had I realized that we would be unable to count on American Home Shield I would have had a new water heater installed the same day as the problem occurred. I know several honest plumbing contractors due to my daily field activities. In addition, American Home Shield has fallen well short of proper compensation for our water heater quandary, even at a fundamental cost level, by any standard.

After I filed a complaint with the Better Business Bureau AHS did send another check for an additional $150.00.

To sum up, service was never provided nor was adequate compensation; which is in direction violation of our agreement. This act by AHS and failure to react responsibly when required nullifies any and all agreements that may have been in effect prior to the morning of 04/10/08 leaving a full amount still due of $312.00.

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Atrocious. We had a pipe get clogged limiting the use of our dishwasher, washer, kitchen sink, garage sink. And American Home Shield said they had 4 hours after business started to contact a service provider, that service provider has up to 72 hours to set an appointment. I am distrustful of this organization. No where on its advertising does it list that they can take 72 hours to respond to a clogged pipe. When I complained they said I could pay the expedite fee. I asked why I was paying American Home Shield then. He did not answer. Probably no good answer.

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On August 14,2009, American Home Shield sent a plumber to look at our hot water heaters that were making loud banging noises. The plumber said they needed to be replaced. AHS decided NOT to replace them. On September 1,2009 our hot water heater burst and our ceiling collapsed into our kitchen. AHS is not willing to pay for secondary damages even though AHS knew that there was a problem and decided not to address it until our ceiling fell into our kitchen. Now AHS is to only replace one of the heaters. I am filing a complaint with the Texas Real Estate Commission. I have been waiting for a call from customer relations and have not received one yet. This is unethical, and on some level consumer fraud. AHS knew that there was a problem before the heater burst and they chose not to replace the heater, now we have a big mess on our hands and they simply are refusing to pay for damages and even replace the 2nd heater until it burst and the ceiling falls again. This is

a problem and someone has got to hold them accountable.

Damage Resulting = A 4\' x 4\' section of insulation and sheetrock fell into our kitchen and there is water damage to our hardwood floors in the kitchen.

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I read reviews like these on the internet 2-3 years ago when I signed up for American Home Shield coverage. I called the company and a sales guy said he was aware of them, but that they represented a small percentage of customers and the company was working to improve. I thought he gave an honest and sincere response, so I entered into a contract. For years all I ever needed was an occasional visit to fix the refrigerator or plumbing, so it only cost me the $60 service fee. Of course, I was pumping $45 into AHS monthly--mainly in the hope that they would pay for our heat & air system if it ever broke down. It's an old gas furnace that might be original with our 40-year old we bought in 2000. I looked at my $45 as an investment towards the inevitable replacement.

But just this week our 9 year old Amana washer broke. It had been on it's way out for some time. Finally the axle gave way and the tub tilted off center, stopping mid-cycle. What happened next is a story of deceit and incompetence. First I submitted an online service request to AHS. They wrote that the Greenway Home Service in Nashville would be in touch. When no one called, I phoned them only to find out they had just ONE technician and he was booked into the following week. That was unacceptable, so I called AHS and they said they'd find an alternate repair company, which turned out to be Sears. Sears was supposed to come out on a certain morning, and when it appeared they wouldn't show up before I had to leave for work, I called the number AHS gave me and was told the tech would call me back to reschedule. But instead of calling me to reschedule, he left voice-mail on my cell phone and went ahead with the service call while I was not at home! He reported to AHS that I had overloaded the washer and broken it, so of course AHS denied the claim as being beyond normal wear-and-tear. When I told them the washer was 9 years old and had been showing signs of breaking for some time, they offered to send someone out for a 2nd opinion. In the meantime, some company called A & E Parts called saying Sears had ordered a "massive amount" of parts for my washer and asked if I wanted them. I said no, since there had been no contact with the repairman (not even paperwork was left) and I hadn't a clue what he ordered. Days later a couple of guys showed up for the 2nd opinion from a company called DirectTech in Donelson. They couldn't have been much over 20. They were sort of glassy eyed and one of them never even opened his mouth. I told them about the visit from Sears and that I wasn't home to inform the tech that the washer didn't just suddenly break from abuse but had been showing signs of wear-and-tear for some time due to normal use and age.

Shortly I heard from "John" at AHS and he said the 2nd team corroborated the Sears report, adding that the unit was rusted from exposure to the elements. When I said it was in an enclosed utility room next to the furnace with a dehumidifier running constantly, it made no difference to him. He said he always tried to err on the side of the customer, but that he was obligated to go by the technicians' reports. He added some nonsense about the appliance being in proper working order, and I said emphatically it had worked for nine years! (Besides, if it was in working order, why would I call for repairs?) I told him I strongly disagreed with their assumptions and asked how to appeal. He gave me a number to Customer Relations/Disputes and a very curt man who gave no name told me bluntly there was no recourse. So I decided to call the customer service number listed on the AHS website and talked with a woman who seemed to be very empathetic. She agreed that the team from DirectTech couldn't have known for certain if I was running too heavy loads and that the location in an attached, enclosed laundry room should not have affected the decision to deny my claim. I expressed my concern that the same type of arbitrary decision could be made about the furnace if and when it broke. She said she'd look into and put me on hold (for 10 minutes!) and came back saying her supervisor said the claim denial had nothing to do with location, but was solely based on the abnormal wear-and-tear to the unit which my warranty did not cover. She also had nothing concrete to say about my furnace question. I told her I was very disappointed because I thought she was going to be more of an advocate. It was obvious she'd been put in her place by her boss and couldn't help if she wanted to. So I said I wanted to terminate my contract. She connected me to yet another department and a disinterested party closed out my account without even asking why.

So the hundreds of dollars I paid to AHS were wasted and now I have to buy a new washer myself. I wish I had taken these other peoples' stories more seriously back when my mortgage company (Regions Bank) first sent me a flier advertising AHS. This company and the vendors it contracts with seem to be in a conspiracy of fraud and deception. I will never do business with a company owned by ServiceMaster again. In fact, I called Terminix to cancel my policy simply because they, too, are owned by ServiceMaster. I may even confer with my attorney as I imagine a lawsuit would not be hard to win.

My advice is to pay close attention to boards like this one where consumers have taken time to post how they've been misled and robbed by unscrupulous companies like American Home Shield. I wish I had done so years ago.

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Absolute ripoff! Every time a technician comes, collects $55 for a visit, and finds a reeason to do nothing. electrical broke - he found something not up to the code (and what house doesn't have something not up to the code)? refrigerator broke - ice maker is not covered. garage opener broke - garage door is too heavy and only if i pay technician $500 it will magically become ok.

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I am sooo surprised to read this!!! The same EXACT thing happened to us with American Home Shield, we live in California. The ripoff plumbing contractor came in our home to check our water heater, claimed we were in violation of city codes and told AHS they refused to do the job unless we paid them to do the repairs. To their surprise, I called our City code compliance, had them come out and check our water heater and surrounding area. They said (and put in writing) the area was to code no problems. I NEVER received an apology from AHS nor the contractor for all the pressure and lies put on us plus days lost with cold water only. In our case we wound up paying another plumber to put the water heater in, sent the bill and City paperwork to AHS , we were reimbursed only $200.00. We've had this service (AHS)15 years!!!!! The service is getting worse and worse, less covered items and constant rip off contractors. Be Careful!!!

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How to beat home warranty companies at their own game

I have discovered how aggrieved homeowners can turn the tables on home warranty companies and beat them at their own game. Please share this with everyone you know.

I�m an attorney and after having a problem with my home warranty company, American Home Shield, I decided to investigate whether other homeowners had experienced the same or a similar problem. What I found were web sites devoted to consumer complaints on which numerous homeowners had recounted incidents of fraud, deception, and rip-offs by their home warranty company. I also found a blog written by a former American Home Shield employee and another written by a former plumber for a home warranty company. Both recounted situations that would not pass the �smell test� in a court of law.

I also investigated lawsuits that had been filed against American Home Shield in Georgia, which is where I live. I found about 15 cases. The majority of cases had been filed in small claims court. As I reviewed the cases, I discovered that none of the cases had been litigated. In every instance, the case had been settled to the Plaintiff�s satisfaction although the details of each settlement were not part of the case file. With the knowledge that all cases had been settled to the homeowners� satisfaction, I realized that American Home Shield would settle with an aggrieved homeowner before allowing a case to go to trial. My conclusion is that the only thing aggrieved homeowners need to do to beat home warranty companies at their own game is to file suit. The last thing American Home Shield wants to do is litigate a homeowner�s claim and the reasons are obvious to me.

The most obvious reason American Home Shield would not want to litigate a claim is that in most instances, the cost to American Home Shield to settle a claim would be less than the cost to litigate. The average amount of a claim in the cases I found was $3,800.00. Two were for less than $1,000.00 and only one was for more than $10,000.00. I�m sure far more than the 15 homeowners who have filed lawsuits in Georgia have had their claims denied. American Home Shield wins when a claim is denied and the homeowner does not sue, which is exactly what American Home Shield is counting on homeowners not doing.

Another reason American Home Shield does not want to litigate is because the company does not want to have to defend its craftily drafted contract or its questionable business practices, which is exactly what it would have to do if a case went to trial. American Home Shield also does not want such information to become public knowledge, which is also likely to happen. Additionally, a judge or a jury would also be hard pressed to return a verdict favorable to a company that engages in questionable business practices.

The final reason American Home Shield does not want to litigate is because a lawsuit actually places American Home Shield in a precarious situation. American Home Shield would have a difficult time defending any claim by a homeowner because the company has no first hand knowledge about the claim; it would need the testimony of the service contractor who, for its own reasons, may be less than eager to testify. The only knowledge American Home Shield has is what the company has been told by the service contractor. And any testimony from American Home Shield about what it was told by the service contractor is hearsay and not admissible in court.

To defend a claim, American Home Shield would need to subpoena the service contractor who actually made the diagnosis to testify about the claim. If the homeowner has done his/her homework, he/she would subpoena witnesses who could dispute the witnesses for American Home Shield. The homeowner should subpoena one or more service companies who had been called either for a second opinion or to make the actual repairs to dispute the testimony of the American Home Shield service contractor. The homeowner might also consider locating one or more other aggrieved homeowners to testify about their problem with American Home Shield. Another good witnesses for the homeowner to subpoena would be a former service contractor for the home warranty company or a former employee of a service contractor.

Since American Home Shield has at least three significant reasons why it does not want to litigate, the best and easiest way an aggrieved homeowner can beat American Home Shield at their own game (and most likely any other home warranty company) is to file suit. The one thing for an aggrieved homeowner to keep in mind is that if he/she does not sue, the home warranty company will win. But if he/she sues, the homeowner will most likely win. And that is how an aggrieved homeowner can beat American Home Shield at their own game.

My advice to aggrieved homeowners is not to stress over a denied claim, the denial of a situation as an emergency, repeated �band-aid repairs,� or a delay in authorization or in the repair of an item. I would also advise a homeowner not to waste time arguing with American Home Shield but to set a reasonable deadline for the appropriate action. Upon expiration of the deadline without receiving satisfaction from American Home Shield, the homeowner should then proceed as if they did not have a home warranty and then sue American Home Shield for reimbursement. The homeowner should also remember to document every action or inaction by both himself/herself and American Home Shield. Although the disadvantage to the homeowner is initially having to pay for the repairs, the advantage is that the homeowner can choose the service contractor and the brands and quality of products. I won�t guarantee all aggrieved homeowners will prevail every time but I have good reason to believe most aggrieved homeowners will prevail the majority of time.

For aggrieved homeowners whose claims were denied at sometime in the past, you may still be able to sue for reimbursement. To make that determination, the homeowner needs to research the statute of limitation for suing on a contract in their state. In any event, a homeowner should be safe filing suit for a claim that was denied during the past twelve (12) months.

Within the next six months, instead of reading homeowner�s stories about being scammed and ripped off by their home warranty company, I want to read stories about how homeowners turned the tables and beat their home warranty company at their own game.

If anyone has any questions, I can be contacted at LegalCohen AT aol.com.

Good luck.

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A H S

They are a company who who like any insurance company.

My own code of trade workman ship and how I treat a person when I am in their home to be 180 degrees apart.

Every word that I have read in the above posting are true. You see that have a cost limit that they give the venders.

So if you want to make a profit you have to fine code violation in every job you do or the vender will lose money on the deal.

Lets face it, if you are paying 400.00 a year for a contract 1 water heater would eat that up.

Bottom line "IF IT LOOKS TO GOOD TO BE TRUE IT NOT TRUE"

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Dear Mr. Tamke (President of ServiceMaster),

I am writing to inform you of the terrible, and more importantly, dishonest service, that I have received from American Home Shield (AHS). We are also cancelling the renewal of our AHS policy for next year. I will not bore you with the details, but the bottom line is that on at least nine separate occasions, plumbers came out to inspect and �fix� the problem. Unfortunately, all that they did was short term fixes (closed auger and hydrojet). I am including the receipts from each visit (it should be noted we paid at least $60 for every visit). We finally received a visit from a plumber who gave us an honest appraisal today. When he called AHS, he was instructed to leave the house. My wife called AHS and was promptly informed that the claim would be denied, although the representative could not explain why. I regrettably had to leave work at noon today (I am a Soldier) to attend to this ongoing matter. Since then, I have spoken to four different representatives, Mr. Brian Lauter being the last, and still, no one will tell me what the problem is or why it is or is not covered. On several occasions I asked that AHS work with us and do the right thing. Unfortunately, this was to no avail.

The bottom line is that my wife and I have been given the run around all day, and have been strung along from the very time this problem first surfaced approximately nine months ago. I am truly upset with how AHS has treated us and am therefore cancelling the renewal of our policy, effective immediately. Additionally, I am carefully considering contacting both the media and the Better Business Bureau. I am also considering seeking legal representation in order to obtain full reimbursement for this breach of contract.

Sincerely,

Colin Cusack