Home Warranty

Just keep calling and ask for a supervisor. Or your office probably has a rep assigned to you. It has happened to me a few times and you just have to be persistant

If it was a pre existing condition that was noticeable by the home inspector, they won't cover. If it was a pre existing condition that was not noticeable, then they should cover. Jim's advice is correct... be persistant... Good luck.

Quoting Sandy Sells!:

I had a home inspection prior to closing. When my buyer had the furnace serviced for the coming winter, the technician told my client the heat exchanger was cracked and was a fire/carbon monoxide hazard. The home warranty company denied coverage. Help!

You should have asked for the repair using the Inspection Notice during the inspection time alloted. Our contracts (St. Louis MO) also have a Gas appliance inspection that is required and states that the Seller is responsible for repairs that need to be addressed and need to be in compiance. Have you read your contract? Judy

What reason did the warranty company give for denying coverage of the cracked heat exchanger?

Home Warranty Companies, just like Auto insurance and other insurance agencies have adjusters, their job is to try to figure out how to deny the claim, thereby saving money.

When getting a home warranty, it is more important to read w.hat they won't cover, and why, than it is to read what they WILL cover.

Depending on your local rep, I would also call, complain and be persistent. The only chance you have of success is if they think you and your company will never use them again.

Judy posted:

You should have asked for the repair using the Inspection Notice during the inspection time alloted. Our contracts (St. Louis MO) also have a Gas appliance inspection that is required and states that the Seller is responsible for repairs that need to be addressed and need to be in compiance. Have you read your contract?

Judy,
I worked in the St. Louis area from 1981 until 1997 before moving to Oklahoma for 10 years (I'm back now). I was so used to working in St. Louis, I was surprised that the contract didn't have a gas inspection clause. We had to rely on inspections only. I did have one with the same situation as the original post (inspection OK, then cracked heat exchanger). Since the inspector was a heating and cooling guy, I recommeded that she go back to the inspector. Shortly after that, the heating and cooling guy stopped doing inspections due to the liability.

Linda (Grayson) Grissette * Prudential Select Properties * St. Charles, MO

If your original home inspection did not uncover any defect with the furnace, then your Home Warranty should cover the defect whether it was there prior or not. I would contact the regional Sales Rep for the company you used (I hope you have established a relationship with this company, this is the exact reason why you should try to use the best company out there, establish a relationship and even have your own home covered with them too, so when "things come up" you have someone who knows you to talk with). This is usually THE ONLY WAY to achieve positive action in cases such as this. The company has to have the rep breathing down their throat, working on your side, telling them they get alot of business from you and they don't want to lose you as a customer, you'll tell all the other REALTORS in your office, yada, yada. This is where you "go to bat" for your client and your rep goes to bat for you. Make sure you give your rep plenty of business AFTER they come through for you also. They take a lot of heat for us in these instances, even when the warranty company should obviously pay up, it can be hell getting them to actually do it. May the force be with you!

Lonette Sellers, Broker
ABR. CRS, E-PRO, GRI, GREEN
Re/Max Elite, Brentwood, TN