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Beware of


If you are considering a Home Warranty Contract, be certain to read all the fine print! Some of the problems associated with these warranties that our members

have seen are outlined below.  Something to think about.


¨ You could be without heat or air for MONTHS waiting on approval of the Warranty Company or to settle any issues with them!  We have seen where the tech orders parts and 4 weeks later, still no parts! Warranty Company said that as long as parts are available, they would not replace a 22 yr. old system.

¨ Most reputable contractors will not work for these companies because their reimbursement level is so low, it simply is not profitable for them.  While other companies may use this to “find other problems”.  

¨ Do not let a home warranty decide what type of work is done in your home.

¨ You cannot choose your own contractor. You must deal with someone on their list who will work for what they are willing to pay.

¨ When buying a new home, typically the “seller” will buy a home warranty and the real estate person may say that everything is covered. You may be told if anything happens to your 20 yr. old system, you will get a new system which certainly is NOT the case.  The “buyer” must read all the fine print.

¨ The warranty will NOT replace the entire system most of the time when this it is really needed.  They will only do the minimum piecework like compressors, evaporators, heat exchangers, etc.  And you continue to have problems.

¨ If a R22 10 SEER evaporator coils is leaking, the warranty company may only approve a new evaporator coil. The newest SEER rating is 14.  R22 is being phased out and a new condenser needs to be installed. The warranty company either doesn't care or expects the home owner to pay the difference. This puts the contractor in the middle.  He may refuse such repairs to keep this from coming back on his/her company.

¨ Code requirements present another important issue with home warranty and insurance claims for the reputable contractor.  The job must be done according to the Statewide Standard Building Code for the safety of the customer.

¨ An Annual Maintenance Agreement with a CAAG member is money much better spent!

For a listing of members of the Conditioned Air Assn. of

Georgia (CAAG) in your area go to www.caag.org or call 678-646-CAAG (2224). Email bruce@caag.org.   Website: www.caag.org

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