Problem Solver: Home Warranty

Home warranties...there are plenty of choices out there but you want one that will give you the least trouble when you need the most help. One Upstate family felt they had found the right company until their claim was denied forcing them to fork over more than $3000 for a new air conditioning unit. When the company wouldn't help the family News Channel 7's Dianne Derby did. It's a 7 On Your Side Problem Solver.

When Janet Carlson got an offer letter for a home warranty through Systems Protect she decided to sign up. She had compared other prices and felt $30 a month was a competitive price to keep her safe if she had to replace a major appliance.

"We need our air conditioning my husband has COPD (Chronic Obstructive Pulmonary Disease) and if it got real hot he would really be in trouble," said Carlson.

But when their air stopped working she got to work on filing a claim. She says the company denied her claim because of pre-existing problems with the unit...problems she says she had the documentation to prove had been repaired.

"We fixed everything in this house before I ever took out a warranty just so something like this wouldn't happen," said Carlson.

Desperate to protect her husband's health as they waited for a final answer on their appeal, the couple spent more than $3000 on a new unit. They also continued making calls to find and continued making calls.

"I was calling daily for about a week and a half and then I got aggravated and came to you guys," said Carlson.

HomeSure Services Linda Segervall sent us an e-mail saying they never received the paperwork from the Carlson's proving maintenance work had been done on their air conditioner. But Mrs. Carlson had a fax transmission saying the original paperwork she sent did go through.

"I knew they weren't telling the truth because I did have the backup," said Carlson.

We wanted to know more about this company...but we couldn't even find Systems Protect on the Internet. So we looked up the name the spokesperson used, HomeSure Services, on the Better Business Bureau's website. We found out it under HMS of the Mid-Atlantic States. We learned the company actually operates under several different names...some with a "satisfactory" rating and some with an "unsatisfactory" rating.

Meanwhile the Carlson's say our calls led to the claim being settled for $2500 dollars. HomeSure Services' Linda Segervall promised us they'd see that check by next week.

The Better Business Bureau says there are some things you need to consider before signing up for a home warranty:
--Check out their track record...ask the BBB for a reliability report or click here
--Do comparison shopping about cost and deductibles
--Get an inspection to determine pre-exisiting problems which may not be covered
--Call the company before you buy and see how they treat the customer.