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Home Warranty Secrets! What the Home Warranty Industry Doesn't Want You To Know !

By
Home Inspector with Advantage Inspection Clear View

Greensboro, Winston-Salem, High-Point homeowners have an alternative to bad service and denied claims.  Find Out How to Avoid Being Ripped Off !  

A TARNISHED REPUTATION

A lot of Realtors offer home warranties to their clients,  But many may not know that the credibilty of the home warranty industry is tarnished in the eye of the public.  And for GOOD REASON.  The whole business model is intentionally flawed in their favor. But first, do a little research......

DO A BACKGROUND CHECK

I challenge anyone to  Google any home warranty company's name and the word `complaints', rip-off or `fraud'.  Find out how many people believe they got burned, turned down wrongfully or got rotten service..... here's one site that should keep you busy: http://www.my3cents.com/.  THERE ARE MANY OTHERS.....

CREDIBILITY GAP

There is a HUGE problem in the home warranty industry, and the public is becoming savvy to it.  But the days of an ignorant public being preyed upon by an industry lacking integrity is nearing an end.  Information is just a click away.

WHY SO MANY UNFAIR DENIALS ?

The problem is INHERENT TO THE MODEL on which MOST home warranties operate.    Here's why: 

THE NO-DOC HOME WARRANTY and the PRE-EXISTING CONDITIONS  clause

If you (as a homeowner) call up a home warranty company, and ask them how they can warranty a house they have never seen, they glibly tell you they take your word for it

But here's the sad truth : They do not want documentation ! That would eliminate the loopholes !

How many health insurance companies will insure you without a physical exam ? 

The fact is, most home warranty companies do not ask for or even accept documentation as to the serviceability of anyone's home, which creates a HUGE LOOPHOLE allowing the warranty company the option of rejecting the claim based on the convenient  ' PRE-EXISTING CONDITONS' clause.

The naive homeowner tells them his house and all its systems are in good operating condition. The homeowner is told his/her word is all that is required, but when it is time to file a claim will find it is his word against the home warranty's service technician.

The homeowner will ALWAYS lose if the technician finds a 'pre-existing conditon'  or other unexpected situation, because the warranty company always goes with the word of their technician!

KEEPING IT CONVENIENTLY VAGUE

Some home warranty companies even boast that an inspection is not required !  But that is exactly what should be required to establish the condition of the home and its systems and to eliminate the excuse of the 'pre-existing conditions clause.

Documentation would show that there were no pre-existing conditions, there were no improperly installed or sized systems.   But the warranty companies don't want documentation.  That would eliminate the opportunity to take your money and later deny your claim !

WHO GETS HURT IN THE LONG RUN ?

Obviously the homeowner is the victim.  However, Realtors who  sell them the rotten warranty product will loose a future referral.  To be fair however, there has not been an alternative home warranty product available until now.

THE WAY IT SHOULD BE DONE.  Advantage Home Warranty's Approach. 

There is one home warranty company that does buisness differently. One that

  •  requires an inspection first.
  •  has no 'Pre-Existing Clause'.
  •  that you will not find any complaints about
  •  will pay on all warranteeable items
  •  Realtors can trust with their reputation

That company is Advantage Home Warranty and their product is the  'No Denied Claims' Home Warranty.  

Want to see how Advantage ranks against other warranty brands ? Home Warranty Reviews

Because we require an inspection by our qualified inspectors FIRST, you get the documentation required to establish the existence or non-existence of a 'pre-existing condition'.

If any item does not pass inspection, you have the option to have it repaired and be covered by the warranty, or to not repair it and exclude it from the warranty.

It's that simple. No loopholes, no hassle, No Denied Claims !                 

And its the way this business SHOULD be done !

Any questions ?

For customers in Greensboro and the Greater Piedmont Triad area, contact me to find out how you can get the only 'No Denied Claim's' Home Warranty on the market, covering more items for a comparable price than any of our competitors !

For customers in the Southeast, within our present service area, contact Advantage Home Warranty

Philip LaMachio, Advantage Inspection Clear View,  Corporate Center Ct. , Greensboro, NC. 27403 

Cell (336) 327-5523  Office (336) 369-2173

  

 

Member of NACHI 

Proud Vendor Partner of Lowes Home Improvement

Here is an example of an agent getting burned by the home warranty industry !

Home Warranties - A Rip Off Or Is It Just Home Security of America? By Bob Mitchell

Ron Tarvin
Residential, Investment properties, rehab projects, property management, luxury homes, new construction! - Katy, TX
Broker, Katy, Houston, Cypress 77450,77494,77095

It seems this is a common complaint and so many of the home warranty companies in our area have added a "preexisting condition", a mismatched, and a improper installation clause to cover all of those things. 

Personally, I 've never had a claim denied or been told by a client that a claim was denied by any of the warranty companies I've used.

It is really out front to say they WON'T deny any claims though!  Wish more did that!

Jun 01, 2008 04:12 PM
Lane Bailey
Century 21 Results Realty - Suwanee, GA
Realtor & Car Guy

I've had a few clients submit claims, and none have been denied... but the quality of the techs has often been lacking.  And, even when the techs have been good, they are almost always required to use junk for parts.

Jun 01, 2008 04:18 PM
Philip Lamachio
Advantage Inspection Clear View - Chapel Hill, NC

Ron:  Ron, they have to have those clauses to deny claims. Their buisness model is based on being able to deny claims when they choose.

The only way we can offer a 'No Denied Claims' home warranty is to actually inspect the home first. This decreases our exposure from the beginning. No one else does that.  In fact, we have the process patented.  They can't if they wanted to !

Which situation would you rather have:  Pay for a home warranty and take your chances it will be denied:

or

pay for a home inspection and home warranty and know you won't be denied if anything goes wrong with any covered item ?

Inspecting first also allows us to offer more coverage than anyone else. I will be posting a warranty comparison soon.

Lane: The home warranty company is directly responsible for the quality of techs they engage to service their claims. I know Advantage Home Warranty would want to know if any tech they sent out was sub par.   I have not heard about using junk for parts, so I'm off to do some research on that !

 

 

Jun 01, 2008 04:49 PM
Rick Sergison
EXP Realty of Canada Inc., Brokerage - Pickering, ON
Durham Region Real Estate Blog

I just stopped by to welcome you to Active Rain. I hope that you find it a great benefit to your business and that you see the value that I have also found here. I am from Charlottesville Virginia and using Active Rain has really increased my business!

My main blog on Active Rain is here: Charlottesville Real Estate Blog, not the link at the bottom of this post. 

I hope you will look into the many groups as there are some great group both local and broad based,.... 

enjoy!

Jun 02, 2008 12:51 PM