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Had a water heater leak. Contract states all parts and components covered, however, AHS stated all installation costs were "modifications" excluded from coverage. Do not trust them.

Product or Service Mentioned: American Home Shield Water Heater Warranty.

Reason of review: Warranty issue.

Monetary Loss: $1200.

Preferred solution: COVERAGE OF HEATER.

American Home Shield Pros: Cancelling contract.

Store Location: 113 College Park Rd, Ladson, SC 29456, USA

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Plumbers charge $900 to install electric 50 gallon water heater, including water heater, expansion tank, and new shut off. Gas water heater is roughly $300 more to connect gas line and vent.

AHS pays the plumber $125 for the whole job. Plumber buys water heater and all the fittings. Where is the rest of the money $775-$1075 supposed to come from, thin air? If plumber charges AHS more than the $125 or refuses to do the job, he will be removed from the AHS list of plumbers.

Without the out of pocket costs tonthe homeowner, the plumber can’t even break even on the job. Does anyone understand this? The problem with home warranty companies is that they don’t have a magical recipe to make things cost less at the parts house, yet they don’t want to detract from their own profitability by spending money on water heaters and labor. That’s for the contractors to pay for, according to AHS.

If anyone can figure out how to force AHS to actually pay the contractors rather than just call it “coverage” that would solve everything. When AHS “covers” something, it doesn’t mean they are “payingl for it.

It means the contractor is paying for it and they try not to absorb any more than they have to. All while AHS pockets the premiums and chooses the contractor who turns in the least amount on the bill.

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