Will they pay?

Question

When we bought the house, we also bought the so-called "Appliances Insurance". Seven months later, water heater started leaking, called the company, they sent a service guy over, quoted us $326 out of our pocket to replace the water heater. At Sears, the same capacity water heater with good rating priced at $303. Since I know something about plumbing, I purchased the water heater and replaced it myself, it is working just fine for several months now. This insurance company told us, we can send them the receipt and they will reimburse the cost which we did 4 weeks ago with certified mail. Yesterday, I received a letter from them threaten to terminate my insurance if I do not pay the $55 service call charge. For another two months, the insurance will expired. I did a google search and went to www.cusumeraffairs.com to find a lot of complaims against this company. Insurance cost is $390/yr. Would they really reimburse? I don't believe so.

It is OLD REPUBLIC HOME INSURANCE.

Answer 1

If you had let them do the work would they have waived the service call charge? If so you made a bad decision. Does your policy permit you to do the repairs yourself and get reimbursed for parts and material? If not then I would say you owe them $55

Answer 2

Well, you can always file a complaint with your state insurance department.  

Usually that home warranty thing isn't worth the money - as you found out.