I tried a home warranty on my first house and it was a total waste

When I bought my place in Tampa last year, the seller threw in a one-year home warranty as a sweetener. I figured it was free coverage, so why not? The first thing to go was the AC unit, which started making a weird grinding noise about 8 months in. I called the warranty company, paid the $75 service fee, and waited. The guy they sent out said the whole compressor was shot and needed a full replacement, which the warranty should cover. But then the company denied the claim, saying it was a 'pre-existing condition' from before I bought the house. I spent weeks going back and forth with them and got nowhere. I ended up paying $5,200 out of pocket for a new unit. Learned the hard way that those warranties are mostly a scam and you're better off just putting money in a savings account for repairs. Has anyone else had a good experience with a different company, or are they all pretty much like this?

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3 Comments

leo_campbell5mo ago

Ugh, that's the classic move. They'll find any loophole to avoid paying for the big stuff.

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noah_sullivan5mo ago

My last claim got denied for a pre-existing condition. I sent them a letter from my old doctor proving it was new, and they paid out in two weeks. Sometimes you just gotta push back with the right paperwork.

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rowan6663mo ago

Three years ago @noah_sullivan my friend had the same issue with Blue Cross over a back injury, sent them a photo of his MRI date stamp and they paid in a week. Are we sure it's the system being broken or just people not reading the fine print?

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