2-10 Home Buyers Warranty

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case [redacted] by [redacted]. We have located [redacted]’s Limited Home service Agreement (“Agreement”) that went into effect June 2, 2017 and applicable claim. Thank...

you for the opportunity to review and respond.
 
Our records indicate on June 19, 2017, [redacted] reported online “Not coming on, Pipes broken, electrical box broken; unsure about filter system and pump because can’t get power on because of electrical box.” We do regret that on occasion, HBRWC will not have an approved network contractor to service an area in a particular trade. We do apologize for this inconvenience. When this occurs, we do request that the customer locate their own contractor. This is described in the Agreement under the Terms & Conditions, A-1 “If a service contractor is not available in your area, we will ask that you call your preferred service contractor and request that they evaluate your problem, but they must call us for authorization prior to performing service."
 
On June 26, 2017, [redacted]’s contractor reported the pump seized, plumbing system above ground are broken. The pipes are beat up badly as if beaten by a hammer. The pump has been moved around from stand and has failed due to vandalism. The chlorinator has a hole from a hammer. The claim was denied for several reasons. The claim was called in 17 days after the warranty effective date. There are major multiple unrelated failures to the pool system which could not all occur within the warranty effective date. [redacted]’s own admission in conversation with the representative, advised when she first tried to turn on the system, it did not work. Per the Terms & Conditions “We provide service for covered systems and/or appliances: 3. are in place and in good and safe working order at the beginning of the Service Agreement.” In addition vandalism or freezing is not eligible per B-9 “There is no coverage for any loss or damage that is caused or made worse by any of the following causes (whether acting alone, in sequence or concurrence with any other cause or causes): misuse or abuse,…freezing,” [redacted] advised the representative that the technician that went out to diagnosed told her the failure was due to freeze damage. It was explained the Agreement does not cover for freezing.
 
At the beginning of the Terms & Conditions of the Agreement, it makes it quite clear that failures must be due to normal wear and tear; “We provide service for covered systems and/or appliances: 2. that do not perform their primary function due to normal wear and tear.”
 
 
We do apologize that we could not be of further assistance in this regard. HBRWC has fulfilled their obligations as specified in the Terms and Conditions of the Service Agreement. We respectfully request the Revdex.com consider this matter closed as she has cancelled her Agreement.
 
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

Initial Business Response /* (1000, 4, 2015/08/10) */
Case # XXXXXXXX
The Office of the President at Home Buyers Resale Warranty Corporation ("HBRWC") has received the inquiry submitted by [redacted] on July 13, 2015. Thank you for the opportunity to review and respond.
In [redacted]...

inquiry she mentioned at least 5 companies have been out to her home for her air conditioning system, that conflicting information has been provided and that she is requesting her air conditioning system to be repaired.
We apologize to [redacted] for any frustrations she may have experienced during the service request handling process.
Careful review of [redacted] service request revealed it was placed with our company on May 6, 2015. [redacted] HVAC , an independent in network service contractor, diagnosed that the evaporator coil and condensing unit needed cleaning which was causing restriction in the system. We did not offer coverage for cleaning pursuant to the Limited Home Service Agreement ("Agreement") section B-16; "You are responsible for cleaning and/or maintaining as specified by the equipment manufacturer."
The service contractor did mention there was limited working space available in [redacted]' crawlspace where the unit is located. Per [redacted]' request, HBRWC dispatched her service request to a second opinion. On May 20, 2015, [redacted] & [redacted] LLC, an independent in network service contractor, provided the diagnosis that a valve stem was leaking and they were authorized to tighten the valve and add refrigerant. On June 5, 2015, we dispatched a possible recall for [redacted]. We authorized Air-[redacted] an independent in network service contractor, for adjusting the refrigerant levels. On July 15, 2015, KY Energy [redacted] an independent in network service contractor, was dispatched and on July 27, 2015, they indicated the service was complete. Since that date we have not received any further communications from [redacted].
We ask that [redacted] contact us at X-XXX-XXX-XXXX, if the work has not been completed, or if her system is not cooling properly.
We thank you for your understanding concerning this matter. We do take these matters very seriously and we thank Ms. [redacted] for bringing these concerns to our attention.
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case 11442103 by [redacted]. We have located [redacted]’s Limited Home service Agreement (“Agreement”) and applicable refrigerator/ice maker. Thank you for the...

opportunity to review and respond. Our records indicate on April 4, 2016, [redacted] reported his ice maker is not working. Independent service contractor, Perla's Appliance Plus was dispatched to the home to evaluate the ice maker. It was not until [redacted] had called us when we realized the contractor had not done the work. We acknowledge [redacted] statements concerning the contractor. HBRWC finds the statements the contractor made to him very unprofessional and there is a thorough investigation being conducted on the contractor. A stern criteria of the independent contractors we use is to provide our customers reliable and professional service. They are the face of HBRWC. All of the contractors that are utilized by HBRWC are independently owned and operated. We have no right of control over their actions. When [redacted] had notified us of this, his service fee was refunded and Independent contractor, Sears was dispatched to the home. A representative of this department called [redacted]. It was confirmed that Sears has completed the repair of the ice maker. HBRWC would again like to apologize for any inconvenience [redacted] may have experienced.  We would like to thank [redacted] for bringing his concerns to our attention as we do take these matters seriously.  We look forward to serving his future warranty needs. Sincerely Office of the President Home Buyers Resale Warranty Corporation

Revdex.com:
I have reviewed the response made by the business in reference to complaint ID [redacted], and find that this resolution is satisfactory to me.
As a matter of practicality I will accept 2-10’s $2,000 offer so that my Denver Revdex.com complaint can be closed. 
Sincerely,
[redacted]

Complaint: [redacted]
I am rejecting this response because:
2-10 has no basis for continuing to deny the claim under the Terms and Conditions of our Service Agreement; the unit was in "good and safe working order" as defined by the Service Agreement, both prior to and AFTER the policy commenced. On the morning of September 24, 2017, after functioning normally on 8/30/17 and 9/21/17, 9/22/17 and 9/23/17, our hot water heater stopped working.  Our policy effective date is 9/21/17. The water heater broke AFTER the policy coverage commenced.The independent contractor, [redacted], was dispatched to service the hot water heater.  [redacted] reported that rust build up on INTERNAL components, shorted an INTERNAL safety fuse, which cause the unit to stop working.  2-10 erroneously stated in their response that [redacted] reported that the unit was leaking internally; [redacted], in a follow-up call with 2-10 and us, advised that he NEVER stated the unit was leaking--only that at some point there had been a leak, which he concluded based on rust build up. [redacted] recommended replacement because repair would not be feasible; again, [redacted] stated NO active leak, and internal rust caused the failure.To be clear, the unit was not leaking on 8/30/17 during our home inspection, nor was it leaking 9/21/17, 9/22/17, 9/23/17 thru when the contractor came, and also stated no active leaking.  Again, the unit has never been leaking at any point between 8/30/17 and present day (10/11/17).2-10 stated the claim was reviewed due to being called in 3 days after the agreement effective date.  Our policy has NO waiting period, nor any presumption of "not working condition" for units  for which claims are filed within the first 30 days of the policy.  Our policy is effective from the start date (9/21/17) for 12 months; for 2-10 to deny based on filing a claim within the first 30 days of our policy (on 9/24/17) when the policy coverage is effective 9/21/17 thru 9/20/18 has no basis in our Service Agreeement.2-10 stated it takes much longer than 3 days for rust to build up---we absolutely agree, and that's how we know the rust did not come from any active leak from 8/30/17-9/21/17, because rust could not have built up in that time.  However, "rust" on a water heater does not de facto render it "not good and safe working order" (later I point out how our agreement expressly covers loss due to rust on water heaters).  Accordingly, the INTERNAL rust that caused the short was built up at some point prior to the effective date of the agreement.However, our Service Agreement EXPRESSLY covers the scenario at hand (see attached):  "Coverage will apply to an EXISTING defect or mechanical failure provided the defect or mechanical failure could not have been detected by a VISUAL inspection and a SIMPLE mechanical test.  A covered item passes visual inspection if the item is intact and without damage or missing parts that make the item inoperable."In this case, the existing defect or mechanical failure is "rust build up on internal components, which caused a short of an internal safety fuse."  The Covered Item, the Hot Water Heater, passed a visual inspection because it was intact and without damage or missing parts that make the item inoperable; specifically, the internal rust on internal components COULD NOT have been detected by a visual inspection, further, the unit was not considered "damaged" based on the mere presence of rust, so it passed a visual inspection as provided in the Service Agreement.  Our Service Agreement Plumbing section EXPRESSLY provides coverage for "any loss [e.g., unit failure] arising from a mineral [e.g., rust] or chemical deposit [on a water heater]; accordingly, by 2-10's own standard, "rust" is not an indicator of damage, or else it wouldn't say that they cover water heaters that fail due to rust deposits.  Further, the Covered Item Hot Water Heater DID pass a SIMPLE mechanical test---our home inspection is proof of that because the unit function was tested for multiple operations at the home inspection on 8/30/17 (no operation produced leak or failure at that time), and the unit was again tested when it was used for its normal function on 9/21/17, 9/22/17, and 9/23/17.2-10 stated in their response that "There was enough evidence to determine the water heater was not in good working order at the beginning of the Service Agreement."  WHAT EVIDENCE?  All evidence--home inspection report, operation of the unit by me and my family--indicate the unit was in good and safe working order.  "Good and safe working order" is defined by our Service Agreement:  "A system or appliance is in good and safe working order if the item functions normally without irregularity, smoke or other adverse outcome when operated."On 8/30/17, at the home inspection, the unit functioned normally--it provided hot water; it functioned without irregularity, smoke or other adverse outcome when operated--there was no evidence of leaking or shutting off; the unit functioned normally to provide hot water on 8/30/17, 9/21/17, 9/22/17 and 9/23/17; the unit failed on 9/24/17, after the policy coverage had commenced.AFTER we had already been denied for "rust" we appealed to 2-10.  2-10 wanted us to pay for a second opinion; instead, we VOLUNTARILY submitted our home inspection report (attached) to 2-10 as proof of the FACT the unit was in good and safe working order on 8/30/17, prior to the coverage period (as 2-10 noted the rust could not have built up over a few days, so there was no leaking between 8/30/17 and 9/21/17 that would prevent coverage of this item).  2-10 points to the Home Inspection report section 5.K under Plumbing to support their erroneous position that the unit was not in good and safe working order.  5.k states "Water heater is old, with rust stains indicating leaks."  I don't see where it says "leaking" or "not working" etc.  -- The thorough home inspector reported his observation that there had been past leaks on the unit and the unit is old; however, neither observation leads to a conclusion that the unit was not in good and safe working order on 8/30/17.  In fact, it was, as evidenced by "functioning normally without irregularity, smoke or other adverse outcome"; we are using the definition of "Good and safe working order" provided in our agreement, 2-10 is not.2-10 said the home inspector "recommended replacement" and that this was disregarded.  Actually, we did not disregard that statement, but since the unit was in good and safe working order, we had no reason to take action on the water heater on 8/30/17.  Under the "Deferred Cost Items" section of the home inspection report on page 7, it states:"Deferred Cost ItemsItems that have reached or are reaching their normal life expectancy or show indications that they MAY require repair or replacement ANYTIME DURING THE NEXT FIVE (5) YEARS.  Budget to repair or replace.  Heat Pump that is 10+ years.Water Heater that is 10+ years.Windows may need additional repairs over time.Garbage disposal (not responsive"." As you will see, the inspector recommended replacement due to the AGE of the unit (i.e., REACHING the end of its life); at no point did he state he recommended replacement because he determined it wasn't in good and safe working order.  In fact, it was functioning normally, so why would we NEED to replace it/take action on 8/30/17 if it was in good and safe working order, i.e., functioning normally without irregularity, smoke, or other adverse consequences?  We wouldn't.  We did not need to replace it prior to purchasing the home, but yes, we were aware the unit could fail at some point in the next FIVE years (like some of our other appliances).  2-10's hold message states: 7/10 home buyers will experience an appliance failure within the first year.  Relax.  You're Covered."  Obviously 2-10 knows appliance can fail within the first year---2-10 did not require us to provide the age of our appliances prior to the policy start date, and the Service Agreement does not list "age" as a reason for not covering an item (policy actually provides for coverage due to normal wear and tear, so arguably, "age" is expressly COVERED . . .  Is 2-10 going to deny coverage for our Heat Pump?  We just had our HVAC tune up, and the contractor came out and said the Heat Pump is functioning normally, no issues, i.e. "in good and safe working order."  Since 2-10 was trying to impute intent to our home inspector's assessment, we contacted him to clarify what he meant when he told us "replacement recommended."  That letter is attached for your review (also sent to 2-10 multiple times).  Further, the home inspector clearly knew how to notate an item that was not in good working order, see above "Garbage Disposal (not responsive)"; we don't see a similar notation on the Water Heater (that looks more like the Heat Pump notation). We were advised the unit was in good and safe working order at the home inspection, and through our own observation and use of the hot water heater AFTER the policy had commenced.  If 2-10 believes something should have been disclosed by the Sellers, they are free to seek indemnification for the claim. However, per our Service Agreement with 2-10, our hot water heater was in good and safe working order on 8/30/17, and on and after the policy commenced 9/21/17.  The appliance failed within the first year due to internal rust build up that could not have been detected thru a visual inspection (done) or a simple mechanical test (done).  The policy covers items that fail due to normal wear and tear (i.e., age), and it covers Hot Water Heaters that fail due to a mineral deposit like "Rust."  Presence of rust is not inherent proof the unit was not in good and  safe working order (we know this because the Service Agreement covers water heaters that fail due to mineral deposit like rust building up on the unit, i.e., normal wear and tear, so long as there is no ACTIVE leaking, which there wasn't here--not on 8/30/17 nor on 9/21/17 nor any time after that to present. Accordingly, the hot water heater is COVERED under the terms and conditions of our Service Agreement. Therefore, 2-10's basis for denial---that the unit was not in good safe working order at the time of the policy coverage start date-- is plainly in error, in bad faith, and in breach of our contract when using the definitions in 2-10s own Terms and Conditions of our Service Agreement.  2-10 is a sophisticated company, in the business of home warranties.  If 2-10 wished to include a waiting period or a presumption clause in our Service Agreement they should have done so; they cannot unilaterally modify our Service Agreement after the fact to support denial of our claim.  I urge 2-10 to point to where in our Service Agreement it states items that fail within the first 30 days are a) not covered and/or b) presumed not to have been in good and safe working order.  To save 2-10 time, neither provision is there.  What is in the Service Agreement is a CLEAR definition of "good and safe working order," and our Hot Water Heater clearly falls within that definition. 
Sincerely,
[redacted]

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case [redacted] by [redacted]. We have located [redacted]’s Limited Home service Agreement (“Agreement”) and applicable claim. Thank you for the opportunity to review and...

respond.
 
Our records indicate [redacted] did follow all of the procedures. On June 21, 2017 the invoice was reviewed in claims management for approval. The representative that received the invoice, inadvertently missed a step in the authorization process and the invoice was not paid out. A representative from this department confirmed this, and has authorized to have the full amount of $156.29 reimbursed to [redacted] with the service fee waived. It will take approximately 10 to 14 business days to receive the check. We have sent this mistake and [redacted]’s other customer service concerns to our coaching and development team, so the representatives can learn from this. We do apologize to [redacted] for this.
 
In [redacted]’s desired settlement, he is requesting a refund of the full amount of the moneys he paid for their initial Agreement and for what he has paid to renew the present Agreement. [redacted]’s last Agreement expired on February 16, 2017 and we would not be able to reimburse any amount. In regards to [redacted]’s refund for his present/active Agreement, we would be disappointed to see [redacted] cancel his Agreement. If [redacted] is still considering cancelling with HBRWC, he may send a written request to [email protected]. The Agreement would be cancelled as stated in section F of his Agreement, which states:  “If you cancel this Service Agreement, you shall be entitled to a pro rata refund of the paid Service Agreement fee for the unexpired term less service cost(s), any other unpaid charges…” We regret that we could not be of further assistance in this regard.
 
Sincerely,
Office of the PresidentHome Buyers Resale Warranty Corporation

This solution is unsatisfactory.  Paying multiple service fees to have the same part replaced within the same agreement period is unfair and should be refunded.  If the initial contractor put in a faulty part, regardless of the reason why it was faulty, the home owner should not share the cost to fix the mistake.
 
The Office of the President at Home Buyers Resale Warranty Corporation ("HBRWC") is in receipt of the rebuttal submitted by Mr. [redacted].  Thank you for the opportunity to review further.
 
Mr. [redacted] is correct. He paid 2 service fees (one for each claim) when he should have paid only one. The reason this occurred is in May 2016, this is when the air conditioner claim was set up and a service fee is automatically due. This gas furnace claim was set up on November 14, 2016. At the time of the gas furnace dispatch, HBRWC had no way of knowing this was related to the May air conditioning claim and the contractor is instructed to collect the service fee. We do apologize to Mr. [redacted] for this. The second service fee has been reimbursed. The check will take approximately 10 business days. If Mr. [redacted] does not receive the check within this time, we ask he call our accounting department at ###-###-####
 
We would like to thank Mr. [redacted] for bringing this to our attention as we do take this matter seriously. This enables us to make corrections and continue to improve our service.
 
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

The Office of the President at Home Buyers Resale Warranty Corporation ("2-10 HBW") is in receipt of the rebuttal submitted by Ms. [redacted].  Thank you for the opportunity to review further.
 
The pictures were reviewed and the top of the water heater shows evidence of rust. The water heater was leaking prior to the Agreement going into effect. The rebuttal provides no additional information to overturn our decision. Ms. [redacted] had decided to cancel her Agreement with 2-10 HBW. We apologize that her experience has led her to this decision.
 
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

Initial Business Response /* (1000, 5, 2015/06/11) */
The Office of the President at [redacted] ([redacted]") is in receipt of the inquiry submitted under case number XXXXXXXX by [redacted]. We have located Ms. [redacted] Limited Home Service Agreement ("Agreement") and...

applicable claim. Thank you for the opportunity to review and respond.
We thank Ms.[redacted] for providing us with her feedback. [redacted] strives to provide fast, reliable service and anything less is unacceptable. We will conduct and internal review regarding her complaints with the customer service that she received.
Our records indicate that on [redacted] 29, 2015 Ms.[redacted] contacted [redacted] to state that there were multiple Plumbing leaks. Ms.[redacted] requested to use her own service provider outside of [redacted]'s network of preferred service vendors. That day, [redacted] was contacted by [redacted] with a report on the failures present.
The first reported failures were to a toilet tank that was leaking due to failures to the control valve, ballcock, flapper, handle, and cut off valve. The contractor had already made repairs to the toilet prior to contacting our company. As such, we regret this item is not eligible pursuant to the 'Who Pays What?' section of Ms. [redacted] Agreement when it states, "[redacted] will pay or reimburse you for costs that have been authorized for a covered repair. Service performed without prior authorization will not be paid."
The contractor also cleared a drain line with a snaking machine prior to contacting [redacted]. This claim was denied for the same reason, as [redacted] did not give prior authorization for that service.
The contractor also stated that the dishwasher discharge drain line had not been installed correctly, and would need to either be re-run or had tubing added to raise the line to a higher level. Correcting this failure due to improper installation is not eligible per section B-11 of Ms. [redacted] Agreement which states, "Costs to repair failures due to inadequate capacity, manufacturer's recall, improper design, improper previous repair, problems caused by alterations or modifications, will be at homeowner's expense. Correction of improper installations or correction of mismatched equipment will be at homeowner's expense."
Finally, the contractor reported that there was a leak occurring under the kitchen sink and that the basket strainer and some piping would need to be replaced. This failure is eligible as the repairs had not been completed yet and Plumbing leaks are listed as eligible in the appropriate trade section. Mr. [redacted] contractor quoted $75 in parts and labor to repair this leak. [redacted] agreed to reimburse Ms.[redacted] for this amount. In order for the check to be processed, we request that Ms.[redacted] email a copy of her invoice to [redacted].
We do apologize for any frustration that Ms.[redacted] may have experienced. With this said, we regret that we are not able to reimburse the full $300 that she is requesting, as the only item eligible for coverage was the leak below the kitchen sink. We thank Ms.[redacted] for bringing this to our attention, and await her repair invoice so we may reimburse the $75 for eligible repairs.
Sincerely,
[redacted]
Office of the President
[redacted]
Initial Consumer Rebuttal /* (3000, 7, 2015/06/23) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I was never told I was receiving any refund or reimbursement due to the $75 call fee! I want a straight answer before I go through even more trouble to get the invoice to them. Was their representative incorrect by telling me I receive nothing or are they rescinding that decision and giving me $75? The rep was extremely smart mouthed and rude and took pleasure in telling me I was to receive nothing for the trouble as well as the plumber wasting an hour on the phone with him. They can email or call me direct. They have my info.
Final Business Response /* (4000, 9, 2015/07/11) */
The Office of the President at [redacted] ([redacted]") is in receipt of the rebuttal submitted by [redacted]. Thank you for the opportunity to review this matter.
The customer service representative that [redacted] spoke with on [redacted] 29, 2015 was correct in stating that any repairs made without the prior approval of [redacted] are not eligible for coverage. With this said, it was the intention of the Office of the President at [redacted] to offer this amount as gesture of goodwill, since she stated she received poor customer service. This reimbursement has been authorized under claim number XXXXXXX; [redacted] will finish processing the request upon receipt of the invoice.
In order to process the reimbursement check, we would reiterate must receive an invoice verifying the repairs were completed by the service contractor. This may be emailed to [redacted] or faxed to [redacted]. We apologize for this inconvenience.
We appreciate [redacted] bringing this to our attention and await her invoice so we may move forward with processing the reimbursement.
Sincerely,
[redacted]
Office of the President
[redacted]
Final Consumer Response /* (2000, 11, 2015/07/15) */
(The consumer indicated he/she ACCEPTED the response from the business.)
Their goodwill gesture shows me they did indeed listen to my concerns and wish to provide better service to clients. I hope the employee is retrained on tact and professional behavior for future calls. I will fax the invoice and await the reimbursement as agreed upon in their rebuttal.

The Office of the President at Home Buyers Resale Warranty Corporation ("2-10 HBW") is in receipt of the rebuttal submitted by Ms. [redacted].  Thank you for the opportunity to review further.
 
We would refer Ms. [redacted] to our previous response in which we indicated the Agreement has expired. We do empathize with Ms. [redacted]’s situation. The network service contractors that 2-10 HBW utilizes are independently owned and operated, and each hold their own insurance and licensing, as required by local law. We contract with these companies in order to service eligible claims, but we are each separate operating companies. If Ms. [redacted] feels the independent contractor was negligent in not discovering a faulty coil after the install of the air handler, her dispute is with the independent contractor and not 2-10 HBW.
 
We regret that we cannot be of further assistance in this regard. The rebuttal provides no additional information to overturn our decision.
 
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case [redacted] by Mrs. [redacted]. We have located Mrs. [redacted]’s Limited Home service Agreement (“Agreement”) and applicable claim. Thank you for the opportunity to review and...

respond.
 
Our records indicate on January 3, 2017, Mrs. [redacted] reported a leaking toilet tank. The claim was set up as an emergency due to no working facilities in the home. The independent contractor, [redacted] was sent the dispatch, however the dispatch was cancelled by Mrs. [redacted] due to poor reviews. Per [redacted], Ace is not Revdex.com accredited, however the Revdex.com rating scoreboard gives them an A+ rating. The independent contractor [redacted] (also is not Revdex.com accredited, however the Revdex.com rating scoreboard gives them an A+ rating) was sent the dispatch but they would not be able to service in a timely manner. There were no other contractors that could service an emergency. Mrs. [redacted] was offered an out of network service provider and the instructions were emailed to her.
 
“1.     2-10 Home Buyers Warranty determines whether or not the system or appliance is repaired or replaced, as defined by your Service Agreement.  2-10 Home Buyers Warranty will only consider reimbursement of the costs that a Network HBW Service Contractor would have charged for the eligible repair or replacement.  The cost for you to use an out of network contractor is usually significantly more than using a contractor from our network. Also, your service contractor does not have the benefit of our national purchasing power for parts and equipment.  It is likely that these costs will be much higher than 2-10’s costs and you will be responsible for the difference.
 
2.     If 2-10 Home Buyers Warranty does not agree with your contractor’s diagnosis of the issue it has the right to get a second opinion from a different contractor and an additional service fee will be payable by you to the additional Service Contractor.  Second opinions may cause significant delays in service.
 
3.     The Out-of-Network Service contractor must be licensed and insured for your protection.
 
4.     The Out-of-Network Service contractor must call the Authorizations Department and provide a diagnosis (including but not limited to: itemized cost breakdown, failed components, cause of failure, model #, serial # and applicable part #s) BEFORE repairs are made.  2-10 Home Buyers Warranty will not pay for any repairs that are made without its authorization.
 
Authorizations Department phone number:
[redacted] (press option 2)
 
5.     After receiving an Approval Code from the Authorizations Department, you are responsible to pay the Out-of-Network Service contractor and apply for reimbursement. Please mail your request for reimbursement after we have authorized/adjudicated the claim to:
 
[redacted]
[redacted]
[redacted]
[redacted]
 
You must include copies of the contractor’s diagnosis, invoice and a copy of your check or credit card receipt. Problem Description: Problem Description: Leaking At Tank”
 
Mrs. [redacted]’ contractor called in and reported a blockage. Due to the emergency, the contractor was authorized to snake the line at his snaking rate.
 
Concerning the water heater claim. Ace was also dispatched to diagnose the water heater. On January 5, 2016, Mrs. [redacted] called stating Ace called her to advise they would be out to diagnose the water heater. She requested to use the same contractor she used for the blockage on her snaking claim as she has already set an appointment. The representative cancelled the dispatch for Ace and the out-of- network contractor instructions were again sent to her email. 2 hours later. Her contractor contacted us and reported the water heater is leaking at the bottom and it needs to be replaced. The technician’s cost to replace the water heater is $1,463.00 which is way above the cost an network contractors could replace the water heater for. This is explained in the above guidelines emailed to her; in section 1;
 
“The cost for you to use an out of network contractor is usually significantly more than using a contractor from our network. Also, your service contractor does not have the benefit of our national purchasing power for parts and equipment.  It is likely that these costs will be much higher than 2-10’s costs and you will be responsible for the difference.”
 
This is also explained in the Agreement under the Terms & Conditions; A-2a “If we elect payment, the amount will equal the lesser of: (i) what the ordinary customer would pay after negotiating the best price for such services in your area and without the benefits of this Service Agreement; or (ii) the amount we would pay for parts and labor for covered service based upon our contracts with authorized service contractors (this amount is usually less than retail cost or your actual cost)”.
 
Since Mrs. [redacted] opted to use her own independent service contractor and since we have in network service contractors available to complete the same work, we are only liable to reimburse the same amount a network contractor would have charged our company for the same work. The network contractors pricing to replace the water heater after the service fee is $447. This is the same amount we authorized her contractor. This means the remaining $1016 would be out of pocket for Mr. and Mrs. [redacted]. On January 5, 2017, Mr. [redacted] and the technician called in. The representative advised Mr. [redacted] that we have authorized $447 to his contractor and his out of pocket cost to the contractor is $1016.00. Mr. [redacted] understood he was responsible for the $1016 (the call was pulled to confirm this). On January 30, 2017, Mrs. [redacted] called in concerned because the entire bill was not covered. The representative confirmed we had her correct email but she advised she never received the out of network guidelines. On February 1, 2017, a representative of this department spoke to Mrs. [redacted] and they were able to come to an additional goodwill settlement over the $447 settlement.
 
We apologize to Mrs. [redacted] for the experience she had concerning returned phone calls. If a representative promises a return phone call, we expect the representative would keep his word. We would like to thank her for bringing this concern to our attention as we do take these matters seriously. This is being investigated further internally to ensure similar situations do not arise in the future. This enables us to make corrections and continue to improve our service.
 
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case [redacted] by [redacted]. We have located [redacted]’s Limited Home service Agreement (“Agreement”) and applicable claim. Thank you for the opportunity to review and...

respond.
 
Our records indicate on June 2, 2017, [redacted] contacted HBRWC and his buyout check was processed. It will take approximately 10 to 14 business days to receive the check.
 
We do apologize for any inconvenience or frustration for the hold times [redacted] had experienced.
We want to thank [redacted] for bringing his concerns to our attention so that we may further investigate these matters. This enables us to make corrections and continue to improve our service. We strive to provide fast, friendly and reliable service, leaving a positive experience to all our customers.
 
Sincerely,
Office of the PresidentHome Buyers Resale Warranty Corporation

Complaint: [redacted]
I am rejecting this response because:Pending final repair of the cook top. I sent the requested pictures this morning. The grill does not turn on and remains nonfunctional. The other issues are as previously documented. We will await final resolution of these issues prior to closing the Revdex.com inquiry. Thanks
Sincerely,
[redacted]

Initial Business Response /* (1000, 5, 2015/10/31) */
The Office of the President at Home Buyers Resale Warranty Corporation ("HBRWC") is in receipt of the inquiry submitted under case number XXXXXXXX by [redacted]. We have located Ms. [redacted]'s Limited Home Service Agreement ("Agreement") and...

applicable claim. Thank you for the opportunity to review and respond.
We apologize for any frustration of inconvenience that Ms. [redacted] may have experienced during the [redacted] handling process. HBRWC strives to provide fast, professional service and anything less is unacceptable. We will have Ms. [redacted]'s concerns reviewed further internally.
We regret we will not be offering to reimburse the cost of her Agreement or the service fees that she paid for the claims placed. Page three of Ms. [redacted]'s Agreement explains that a service fee is due for each service request that is placed. Similarly, section F-4 of her Agreement states, "If this Service Agreement is canceled a pro rata refund of the purchase price of this Service Agreement for the unexpired term less service cost(s), any other unpaid charges and a $25 processing fee." If Ms. [redacted] wishes to cancel her Agreement she may email [redacted]@2-10.com and provide written confirmation of that request.
HBRWC received the invoice for the air conditioning repairs on October 12, 2015. The $165 check that Ms. [redacted] references was authorized issued on October 15, 2015 and sent via priority mail. She should have received this check by this time. HBRWC initially requested this invoice on June 26, 2015, but regret it was not received until the 21st of September, at which point it was reviewed with HBRWC's 30 day time period. We appreciate her patience with this matter.
We disagree with Ms. [redacted]'s statement that her Plumbing claim was not treated as an emergency. This claim was set as an emergency and HBRWC attempted to locate a contractor who could service over the weekend. We would note that Ms. [redacted]'s Agreement does not guarantee that HBRWC can offer same day service but does state on page three that, "In cases of emergency, we will expedite service and attempt to initiate service within 24 hours."
We also apologize for the delay that occurred with Ms. [redacted]'s refrigerator. Our records indicate that the independent service contractor reported that the fan motor required replacement. This part was ordered and received by the service contractor, but there was a delay after the contractor did not contact Ms. [redacted] to schedule a repair time. We will address this with the contractor and evaluate their relationship with HBRWC in the future.
Again we apologize for the inconvenience that Ms. [redacted] experienced. We appreciate her bringing these concerns to our attention and we will be reviewing this further due to the difficulty that she experienced.
Sincerely,
[redacted]
Office of the President
Home Buyers Resale Warranty Corporation
Initial Consumer Rebuttal /* (3000, 7, 2015/11/04) */
(The consumer indicated he/she DID NOT accept the response from the business.)
After countless hours of online research after hours of conversation and being on hold with 2-10 Home Buyers Warranty, my complaint is the same as so many others in that NO resolution occurs, there is NO sense of urgency, and there is NO ONE to respond to issues with customers. This is an ONGOING problem with this company. In addition, their dates and timelines are completely inaccurate. My original request for the HVAC reimbursement was on 7/31/15 and they magically never receive it. I refaxed over on 9/18/15 and was told on 3 separate occasions that it was being REVIEWED. (Fax documentation attached) The fact 2-10 says it was received on 10/12 and a check went out immediately on 10/15 for $165 is a straight lie. If they were this proactive with all claims and conversations I had with them, none of this would have been an issue. As far as the plumbing issue, even though it was "noted" as an emergency, they provided no resolution to get anyone to my house. What is the point of noting an issue as an emergency if the problem is not going to be dealt with, especially concerning a plumbing leak when someone has a HOME OWNERS WARRANTY? Lastly, the statement reading "We will address this with the contractor and evaluate their relationship with HBRWC in the future." does not help me at all as the customer. After almost 5 weeks of unanswered calls and the run around, when the contractor came to finally fix my refrigerator, he actually left the box with the PRIORITY overnight ship date of 9/18/15 which means he had the parts on hand since the morning of 9/19/15. They finally came to my house 10/7/15 to fix my refrigerator and install the parts they had for OVER 2-1/2 weeks. These are the facts with documentation to support my claims attached. I will drop my request to $500 reimbursement to close out this issue and part ways with 2-10 Home Buyers Warranty. Businesses should not be able to give false information, not provide the services clients pay for and be able to get away with this pathetic way of doing business. Totally unacceptable.
Final Consumer Response /* (4200, 11, 2015/11/24) */
(The consumer indicated he/she DID NOT accept the response from the business.)
While it is true that I received a reimbursement check back for the $165 from the July claim only after I filed the complaint with Revdex.com and for a problem that 2-10 could not fix after 3 service calls, none of the other issues have been addressed. While they claim they have a reimbursement that is pro-rated, you can see from my attached documentation that I have requested this and was given a response that NOTHING would be refunded or pro-rated even though I have 5 months remaining in my agreement. That makes no sense to me and totally goes against what their policy states. Supposedly, the email was forwarded on to the Office of the President and will take another 30 days to review but my guess is that I will not get a response because that is typical protocol for 2-10. I am still amazed this company can stay in business while treating customers the way they do and the numerous complaints filed. I believe it is the real estate brokers that are adding in the "Home Buyers Warranty" to assure new buyers that they have some sort of coverage when purchasing a new home (or an older home that has been remodeled in my case). The problem is when it comes time for a claim, 2-10 Home Buyers Warranty Company has a minimal amount of coverage and then gives buyers the run around. I have spent countless hours with phone calls and emails and at this point, I am looking for half of my contract reimbursement and I will go away. That is what I am requesting.
Final Business Response /* (4000, 13, 2015/12/09) */
The Office of the President at Home Buyers Resale Warranty Corporation ("HBRWC") is in receipt of the rebuttal submitted by Ms. [redacted]. Thank you for the opportunity to review further.
After further review, HBRWC has verified with our Accounting department that there is no remaining pro rata balance remaining for Ms. [redacted]'s Limited Home Service Agreement. To date, HBRWC has paid a total of $865 over five claims placed. This $865 is higher than the cost paid for the Agreement ($479), and thus there is not a balance remaining to refund. We apologize we are not able to be of further assistance with this matter.
Sincerely,
[redacted]
Office of the President
Home Buyers Resale Warranty Corporation

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case [redacted] by [redacted]. We have located [redacted]’s Limited Home service Agreement (“Agreement”) and applicable air conditioning claim. Thank you for the opportunity to...

review and respond.   Our records indicate on June 10, 2016, [redacted] reported there was no air flow from the vents. Independent service contractor, Climate Design was sent a dispatch to schedule with [redacted]. However, Climate Design did not contact HBRWC that they were not going to accept the dispatch. This notice from the Revdex.com alerted us that [redacted] had not received service. There were numerous attempts to get a hold of Climate Design without any response. A representative contacted [redacted] and explained we are attempting to locate another contractor. Unfortunately it was Friday and most of the contractors were booked. Due to the temperatures in the area, the independent service contractors were experiencing an unusually high call volume and were not able to provide same-day or next-day service. At the same time, the first heat wave of the year can create higher than normal wait time in the call center.   A representative contacted [redacted] on Monday, June 20, 2016. He had the repairs made to his air conditioner. He forwarded the invoice and was reimbursed the full amount. His contractor reported some improper previous repairs that were done by the independent service Climate Design. [redacted]’s complaint of improper previous repair and not responding to the service call on Climate Design was passed along to our contractor relations department to investigate and address the contractor.   HBRWC would like to apologize for any inconvenience [redacted] may have experienced.  We value his business and we look forward to serving his future warranty needs   Sincerely, Office of the President Home Buyers Resale Warranty Corporation

Complaint: 11405312
I am rejecting this response because:The very premise of a home buyers warranty is to provide peace of mind for the exact situation mentioned. To offer warranties effective on the day of closing on a new property, and then to reject a claim citing a pre-existing condition is  contradictory. The home was built in the 1980’s, none of the appliances or any of the features of the home are brand new as of the day of closing and thus any and all wear and tear which could lead to a failure will be pre-existing to the effective date of the warranty (which again is active from day 1 that I officially take over ownership)! But this is the very reason I purchased a home warranty, to cover the unknowns of a new property! This is the very situation that 2-10 had the opportunity to make good on their promise of peace of mind. For this reason and for the previous issue with HVAC on the home I am selling, this company has lost all credibility with no chance of repairing the customer-provider relationship, and the only fix for this is to sever ties with this business. Additionally, as a full-time working professional with children, it is impractical to be without a washing machine for a week or more while waiting for the back-and-forth between a third party and a contractor. In the case of a washing machine, this claim should be handled expeditiously especially if the customer expressly requests it. There should be categories of urgency for the different claims that come through. I am much more inclined to work with a local appliance service directly to resolve the issue that requires prompt attention. In these cases, the home buyers warranty business model does not seem to work for the customer.Lastly, a representative had already approved the repair. Only after calling back to follow up did another representative over turn the original decision citing that the "previous employee was new and should not have done that". All of this causing more time to elapse and further hurting the credibility of the company. I never turned over the general inspection report to 2-10 Home Warranty so I am not sure what they are talking about, and I never confirmed anything as stated in the response from 2-10.
Sincerely,
[redacted]

The Office of the President at Home Buyers Resale Warranty Corporation (“2-10 HBW”) is in receipt of the inquiry submitted under case [redacted] by Mrs. [redacted]. We have located Mrs. [redacted]’s Limited Home service Agreement (“Agreement”) and applicable claim. Thank you for the opportunity to review...

and respond.
 
The independent contractor [redacted] reported the high limit switch keeps tripping due to the return duct is the improper size. The switch must be manually reset. Adding vents are not eligible for coverage as state in the Terms & Conditions,  B-9; “There is no coverage for any loss or damage that is caused or made worse by any of the following causes (whether acting alone, in sequence or concurrence with any other cause or causes): missing parts,” There is no coverage for the capacity or improper design of the duct as stated in the Agreement B-12; “Costs to repair failures due to inadequate capacity, improper design, improper previous repair will be at the homeowner’s expense.” As such, we will not approve to have the vent(s) added or corrected or guarantee reimbursement if the independent contractor diagnostics is incorrect and the vent is not the problem.
 
A representative of this department spoke with Mrs. [redacted] and offered to send out a second opinion. She agreed to this if the second opinion can make it out in a timely manner as she does have a scheduled appointment with [redacted] next week for the duct work. She does not want this to delay repairs for the return vent(s). The second opinion has been dispatched. Unfortunately the contractors in her area are very busy due to the recent extreme low temperatures. Mrs. [redacted] has the option of the second opinion with her service fee waived, move forward with the repairs of the duct by [redacted] or both.
 
We do apologize for any frustration or inconvenience that Mrs. [redacted] may have experienced during the claims handling process. 
 
Sincerely,
Office of the President
Home Buyers Resale Warranty Corporation

The Office of the President at Home Buyers Resale Warranty Corporation (“HBRWC”) is in receipt of the inquiry submitted under case [redacted] by [redacted]. We have located [redacted]’s Limited Home service Agreement (“Agreement”) and applicable claim. Thank you for the opportunity to review and...

respond.
 
Our records indicate on June 14, 2016, [redacted] reported online her air conditioner is not blowing cold air. Independent service contractor, [redacted] was dispatched to the home and reported online “unit was undercharged. Performed leak check. Installed Stop Leak and added 3 lbs. of R-22”. On July 1, 2016, [redacted] called in and stated the issues has resurfaced and a recall was sent to [redacted]s to revisit the home. On July 5, 2016, [redacted]s reported online the evaporator coil is leaking and the coil needs to be replaced. He was authorized to do the repair and reported $350 in out of pocket costs due to [redacted]. [redacted] accepted the charges. HBRWC was not able to find an exact match coil, due to the difference in dimensions, [redacted]s quoted an additional $350 modifications that would need to be done. Modifications are an out of pocket cost to the customer. When the revised amount of the charges was presented to [redacted], it was reviewed further and HBRWC decided to pick up the additional $350 to be paid to [redacted]s. [redacted]s reported the work was complete on July 12, 2016. A second opinion was dispatched to diagnose the drain lines and reported that it was just the drain line clogged.
 
Concerning the property damage. We regret that we will not be offering any compensation for the consequential water damage. If she would please refer to her Agreement, Section B-5 which states, “We are not liable for incidental, indirect, special, punitive or consequential damages or for bodily/personal injury or property damage.” This is one of the reason we make sure all of the independent contractors we “contract with on pricing” are licensed and insured. Since [redacted] feels that the independent service contractor, [redacted]s workmanship caused the consequential property damages, her dispute for reimbursement is with them and not HBRWC.
 
[redacted] is incorrect, we do not have an insurable interest in [redacted]’s residence and we would not be able to file a claim against [redacted]s Insurance for [redacted]. In her complaint, I see she does not mention that she had her home insurance contact [redacted]s insurance directly to file in her behalf. She may want to check into that.
 
We regret that we cannot be of further assistance in this regard. HBRWC has fulfilled their obligations as specified in the terms and conditions of the Service Agreement. We appreciate [redacted] for bringing this to our attention as we do take these matters seriously.
 
 
Sincerely,
Office of the PresidentHome Buyers Resale Warranty Corporation

Initial Business Response /* (1000, 4, 2015/06/15) */
The Office of the President at 2-10 HBW Warranty of California, Inc. ("HBWCA") is in receipt of the inquiry submitted under case XXXXXXXX by [redacted]. We have located Mr. [redacted]'s Limited Home Service Agreement ("Agreement") and applicable...

claim. Thank you for the opportunity to review and respond.
We do apologize for any frustration or inconvenience that Mr. [redacted] may have experienced during the claim handling process. Our records indicate that when Mr. [redacted] placed an air conditioning claim, we did not have a preferred service vendor available in his area who could service the claim in a timely manner. For this reason, HBWCA requested Mr. [redacted] obtain his own contractor pursuant to section C-3 of the Agreement which states, "If an authorized service contractor is not available in your area, we will ask that you call your preferred service contractor and request that they evaluate your problem and call us for prior authorization to perform service. Your service provider must be licensed and insured and call us for prior approval before performing any repairs or replacements."
We disagree with Mr. [redacted]'s statement that HBWCA denied his claim or had any intention of not honoring the coverage listed in the Agreement. While we do try to minimize situations in which a customer must obtain their own contractor, sometimes they do occur. We do try to keep this process as simple as possible for our customers and the contractor's they obtain. However, we do understand how Mr. [redacted] may consider this an inconvenience, and we sincerely apologize for that.
On June 12, 2015 HBWCA was contacted by the contractor [redacted] & [redacted] who stated that Mr. [redacted]'s condensing fan motor required replacement. This contractor quoted $885 for repairs. HBWCA will be offering coverage for this repair in full. As part of this $885, we are waiving the $50 service fee that is normally due for each new claim placed. In order to receive payment, the customer or contractor may email a copy of the invoice to [redacted]@2-10.com or via fax to [redacted] Please note that if payment is to be remitted to the contractor, we also require a W-9 form. If Mr. [redacted] is being reimbursed for the repair, then that form is not necessary.
We thank Mr. [redacted] for bringing this to our attention so we may evaluate the matter further. We look forward to serving his future warranty needs.
Sincerely,
[redacted]
Office of the President
2-10 HBW Warranty of California, Inc.
Initial Consumer Rebuttal /* (3000, 6, 2015/06/18) */
(The consumer indicated he/she DID NOT accept the response from the business.)
I have faxed a copy of the paid invoice which covered two air conditioners, each with its own claim number #XXXXXXXX and #XXXXXXX with a combined approved billing of $1,140.90. I have not heard back from 2-10 concerning reimbursement. This process involved several hours on the phone. The only commitment I have received from 2-10 is the statement herein where they say they will reimburse when they received my fax. My fax has been sent, but they have not acknowledge receipt nor have they reimbursed for the cost of repairs.
Final Business Response /* (4000, 12, 2015/07/18) */
July 18, 2015
Revdex.com Case #XXXXXXXX
The Office of the President at 2-10 Homer Buyers Warranty of [redacted], Inc. has received [redacted]'s inquiry. Thank you for the opportunity to review and respond.
Our records indicate that we received [redacted]'s invoices on July 14, 2015 and full reimbursement of $1140.90 has been authorized. [redacted] should receive a check in the mail for this amount within 7-10 business days. We are happy to have brought this to a proper resolution.
We thank [redacted] for bringing these matters to our attention as we do take them very seriously. We look forward to servicing his future warranty needs.
Sincerely,
[redacted]
Office of the President
2-10 Home Buyers Warranty of [redacted], Inc.
Final Consumer Response /* (2000, 14, 2015/07/23) */
(The consumer indicated he/she ACCEPTED the response from the business.)
Payment for this repair arrived 7 1/2 weeks after the air conditioning problem was reported. The first two or three calls were virtually ignored by 2-10. It took many phone calls, hours on the phone, and ultimately a Revdex.com complaint to get this resolved. After ten years of prompt payments on a home warrantee we found this policy to be a little value. The reimbursement is accepted but frankly it was hardly worth the effort required to finally get it.

Initial Business Response /* (1000, 5, 2015/11/13) */
November 13, 2015
The Office of the President at Home Buyers Resale Warranty Corporation ("HBRWC") has received the rebuttal complaint submitted by [redacted]. Thank you for the opportunity to review and respond.
First, we sincerely...

apologize for the inconvenience and frustration Mr. [redacted] has experience during the claim process. We do understand that there were unnecessary delays that were caused. HBRWC strives to provide fast, reliable service and anything less is unacceptable. Our intent was never for Mr. [redacted] to feel as if he was "getting put off". Each issue will be internally looked into and addressed to prevent such occurrences in the future.
Our records indicate that the air conditioning and swimming pools were completed. We honored the full $1,000 liability for the swimming pool claim so that Mr. [redacted] may replace the filter. Regarding the air conditioning, our independent service provider replaced the condensing unit for the air conditioning system.
We would like to thank Mr. [redacted] for bringing his concerns to our attention so we may evaluated the matter further. HBRWC acknowledges Mr. [redacted]'s concerns with the delays and customer service that he received, and would again like to apologize for any inconvenience. We will look forward to serving his future warranty needs.
Sincerely,
[redacted]
Office of the President
Home Buyers Resale Warranty Corporation
Initial Consumer Rebuttal /* (2000, 7, 2015/11/16) */
(The consumer indicated he/she ACCEPTED the response from the business.)