Wednesday 9th of August 2017 05:19:36 PM
I had First American Home Warranty for almost 12 years on one home and 8 years on another. This year the AC (HVAC) unit went out on one of my houses and my property manager informed me that First American wanted me to pay $1425 to repair it. Luckily I called to find out what the charges were. Evidently, and unbeknownst to me, my plan was no longer the premier plan, it was now the step below (Basically what First American did was change the names on their plans). I was never notified to upgrade or that my plan had changed. I then asked what the $1425 was for. First American told me, reading from the contractors invoice, that I was paying for multiple "modifications" and "permits" to fix an HVAC system. I blew a gasket! What the hell are "modifications" when all you need to do is replace a part? And why am I paying for a contractors permits? I then asked what the payout was and was told $825. Therefore, the total price of this repair on an HVAC unit was going to be around $2250. Does that sound right to anyone? I had my property manager call one of her local contractors and I called a friend that started his own heating and cooling business to get an idea of the validity of First American's claims. They were unfounded. Both contractors stated no modifications were needed, they already have yearly permits they pay for to dispose of freon, and, best of all, they both quoted me $1200-1250 to repair the AC unit. I went with my property manager's contractor because my friend was going on vacation. After it was all said and done, $1250 for the initial repair, then once it was fixed the contractor found a leak that was an additional $175 charge to fix. When added together equals $1425....interesting, don't you think? Exactly the same amount First American said I had to pay in "modifications" and "permits". Basically, First American is running a scam with their contractors they call for you and you are obligated to use. They mark up the price to ensure First American and the contractor both make out, and you pay the deductible along with continuing your monthly fee. I have been fooled by this company for many years now, don't do the same. Home Shield and Republic seem to be the better choice and I am continuing to conduct my research on them before I decide. I have filed a complaint with the Better Business Bureau to ensure this company is investigated along with, hopefully, ultimately punished and/or shut down. You can view the complaint and their response using the BBB Complaint Case# 621177. I have also attached a copy of the receipt from the contractor. I hope this helps others!