Complaint Review: American Home Shield

I had my refrigerator replaced by AHS and was overall satisfied although it took longer than I would have liked - 3 weeks including having to re-order the fridge because the first one came with a dented door. I was offered an option to either have the unit replaced or receive a check. The replacement was a much nicer model than I could find to get with a check, so I chose replacement.

If I had it to do over, I think I'd have gone with the check so I could get a unit delivered faster. It was a real hassle storing food all that time and keeping it in a cooler meant it didn't last as long, so I probably lost as much in groceries as I saved in getting a replacement unit. There are plenty of companies who will give delayed payment terms or no or low interest.

I don't think the company's service is as good as they claim, but it could still be worth it if you think of them as part of a maintenance plan. I'd suggest having some money or a credit card handy to pay for items if they give you an option to receive a check.

Then again, it may be better to simply put the monthly fee a bit extra in a savings account set aside for maintenance.

I don't feel so bad now. Living in Northern Michigan my heat bills exceed $1600 for the winter months (Dec-March). This doesn't include the 15 face cord of wood that we purchase to supplement, nor the $250 elec bill that we get. And all of this to keep the house at a toasty 65 degrees! There have been many people in this area that have had to turn down their heat to 55 degrees, and the heating bill STILL exceeded $500-$600 this winter (major topic of conversation in the local rag). Add to the heating bill the snow plow that needed repairs, the refrigerator and washer that had to be replaced.... No complaints, just Murphy's Law! LOL

I have to concede that my main problem with this report is that the poster seems to have put herself, and her family in the position that they were in because she wasn't prepared for the reality's of home ownership. Figuring that her out of pocket cost was $1000, spread out over a few months, it seems ludicrous to be without a primary heat source for three years. Even if she couldn't afford that heat source, there are many agencies out there that are willing to help in these situations (in our area, we have a local housing commission that gives 0% interest loans over a 5 year period to assist in fixing/replacing/upgrading furnaces, roofs, wells, etc). I've referred many families to these programs over the past several years in an effort to relieve their financial stress and get them back on their feet. There are additional programs available at no cost (often a second choice for those that want to be self sufficient) to assist those that need help. Since there are often situations where families are on the financial down hill, these programs assist them in getting back on their feet so that they don't fall behind on everything because of a major event. I have often had to explain that you can't allow pride to be the catalyst that blocks you from seeking help, as a little help NOW could avoid a much bigger need for assistance later.

OK, I'm done with my little rant. Could you send a little sunshine out our way to help melt the snow?? *wink*

OP said:
Our heating bills, based on the previous winter, should have been $400 for all five of those months and was built into our budget.

How do you figure your heating bill is $80.00 a month in the dead of winter?

I don't even get snow, and my heating bill is never under $125 in my small house during "winter" months.

Second, I loathe AHS. However, the recent poster is correct - they don't send you a check, they do the repair themselves. Usually with cheap, aftermarket or discounted "fair replacement" parts, but parts nonetheless.

I've paid $50.00 to get my dishwasher serviced, only to be told that I need to turn my hot-water heater higher get my dishes clean. I felt like an idiot, but it worked. That's life.

It is interesting, tho, that you didn't originally want an AHS program. Imagine your life without it, having cracked shoes, one meal a day and having to pay full cost instead of the $900 you received?

You said in your original complaint that the central air unit needed to be replaced. How does this affect the furnace? I have central air in our home, and if it goes down, we won't be able to cool the house, but it doesn't affect the furnace.

In addition, you said that you called for service in July. When the run around began with AHS, it would seem to me that you would have been looking for other alternatives to repair/replace the furnace in anticipation of winter. I understand that most of us couldn't afford such a costly repair coming out of our pockets all at once, however, there are many places that offer credit terms for furnaces and air conditioning units (often they even include the incentive of no payments for so many months, or reduced interest for so many months etc). In the alternative, putting $200 per month into a savings account for the possibility of AHS dragging this out would have given you the greater majority of the money needed to effect this repair. I think my problem with this is that in putting $200 in the bank for back up during the months of Aug, Sept, Oct, Nov, and Dec would have given you the amount that you needed (paying off the balance when you received the AHS check on 12-13), and the money would have been put to better use than paying the large heat bills. A line of credit for the repair with no payments and or interest for several months would have given you the additional advantage of not having to make payments nearly so large, and could have been spaced out over several months. At this point, you would have had your heat source AND could have gone after AHS to honor their policy.

In hindsight, a little bit of planning would have saved you a lot of money, frustration and heartache. Three years is a loooooong time to go without a heat source in your home, not to mention the expense that came with it. I'm not defending AHS (or any other home warranty program for that matter....I've been in the same boat), but you can't lay the blame for your situation 100% at their feet. When you own a home, you accept the reality that things are going to break down that need repairs. Most homeowners don't have someone to fall back on to pay for the repair cost. I own a home, AND have 8 children still living at home. I understand the reality of a budget. I hope that now you've recovered from the financial stress of the past couple of years, you move forward better prepared to handle the possible pitfalls of homeownership.

You couldnt get a loan for $1000.00 bucks,with great credit? Sounds like your in a house you cant afford. You better hope nothing else major happens.

I have owned 4 different homes over the years, and had AHS warranties on 3 of them... the last one was a different company (Can't remember the name off hand), but NEVER has AHS had to "Mail a check" before any repairs were started...
They provide the info to the repair company that they send out, they look at the problem, send their estimate in, and get a purchase order for the amount and do the work... You never see the money that changes hands... They have replaced A/C, a refrigerator, a stove, repaired several plumbing problems and a garbage disposal...
If you read your warranty info, they even state that they pay the repair facility direct...
Now, they also have several levels of warranty service you can purchase... from only covering a few things in the house, up through "bumper to bumper" coverage... so that could explain the not covering faucets... However, even with the bottom line warranty service you still would never be sent a check and have to pay for the repair yourself...

If I had the money to repair it out of my own pocket, believe me, I sure would have done it! By the time AHS got that pitiful check to me, all my extra funds were taken up by the enormous heating bills caused by AHS's failure to honor its warranty. If I could have come up with even the other $1100 to buy the unit myself, I would have done so. I had no savings because we used if for the down payment on the home. And did you just accuse me of child endangerment? I guess you missed the part where I had the emergency heat cranked all the way up for the sake of my child. Nothing means more to me than the safety of my child!!! It is very wrong of you to suggest that. You'll notice I mentioned that I eat one meal a day. Why? So I can give my child what she needs. That's what good parents do, make sacrifices.

Your other suggestion was why didn't I get a loan to pay for the new unit. Well, after the five-month run-around AHS gave me, I was in trouble with the bills and wouldn't have been able to secure a loan. And I wouldn't have qualified for a home equity loan since, as a homeowner for less than a year, I didn't even have any equity in the house yet.

I've had to make do with emergency heat and space heaters for three years thanks to those idiots. Well, now that I've finally solved all of those problems, I can save up for the unit you so callously stated I should have run out and bought. (Yes, because everybody has a couple of thousand dollars just sitting around the house, right?!) This winter, my home will be heated properly, all due to my OWN efforts.

All of that is beside the freaking point, anyway. If AHS had not been dishonest and slimy, the heating/cooling unit would have been replaced (LONG before December!!!), I would never have racked up those enormous heating bills, and I'd have an intact credit rating today. Instead, AHS chose to jerk me around just like they jerked around everyone else who has complained here. I mean, five months to cut a simple check, and even then it doesn't come close to covering what the warranty was supposed to cover. I'm not trying to play the victim here, since I survived the whole process, I'm just trying to prevent someone else from making the same mistakes.

You're trying to get a claim honored from AHS? GET A LAWYER BEFORE YOU EVEN CALL THEM!!! It's better to pay the lawyer $150 an hour and get your claim honored instantly! (And you'll save on all those repeat $50 service fees, too.)

I agree that AHS is horrible, and I am not saying anything otherwise. However, you should've repaired the unit yourselves and then fought with AHS. If you had stellar credit, you would've had no problem getting a small loan or credit card to pay for the repairs.

But instead, you put your health and your CHILD at risk by not doing anything. What's wrong with you? You had me until you said you had such great credit scores... that doesn't wash. IF you were doing so well, you could've repaired that unit at your expense and took AHS to court, which is what so many other people on this site do.

It seems like most home warranty companies are all the same. I bought my house and it had a home warranty (not AHS). The heater breaks and I call the company. They will send someone right away. Three hours later - no serviceman. I call back and am told we have no contracted servicepeople in your area we are still tryng to find someone for you. Well after about another 6 hours a guy shows up and gets the heater running (it is a rough patch job but at least it works). Home warranty company told me to pay the $75 deductible to the serviceman.

I do and fortunately am smart enough to get a receipt. He tells the company I never paid. I must have faxed that receipt to the warranty company at least 20 times over the course of 4 months before they agreed to go after him and not me. The heater kept breaking (really needed a new one) and I was spending so much on the deductibles that I eventually got wise and got a service contract with a local dealer. I was able to save up enough money and finally got the new heater.

Anything else that broke it was the same story - no contracted dealer in your area. You will just have to wait until we find someone willing to accept our low fees. They eventually find someone and he will stick a few bandaids in place instead of the major surgery the problem requires. A few days later it breaks again and I am out another $75. What a rip.

It seems like most home warranty companies are all the same. I bought my house and it had a home warranty (not AHS). The heater breaks and I call the company. They will send someone right away. Three hours later - no serviceman. I call back and am told we have no contracted servicepeople in your area we are still tryng to find someone for you. Well after about another 6 hours a guy shows up and gets the heater running (it is a rough patch job but at least it works). Home warranty company told me to pay the $75 deductible to the serviceman.

I do and fortunately am smart enough to get a receipt. He tells the company I never paid. I must have faxed that receipt to the warranty company at least 20 times over the course of 4 months before they agreed to go after him and not me. The heater kept breaking (really needed a new one) and I was spending so much on the deductibles that I eventually got wise and got a service contract with a local dealer. I was able to save up enough money and finally got the new heater.

Anything else that broke it was the same story - no contracted dealer in your area. You will just have to wait until we find someone willing to accept our low fees. They eventually find someone and he will stick a few bandaids in place instead of the major surgery the problem requires. A few days later it breaks again and I am out another $75. What a rip.