In This Topic, We Cover the Precautions For Protecting Your Home With a Home Warranty
Unfortunately, home warranty claims are occasionally denied. The reasons for this vary depending on the situation, but it’s helpful to be well versed in the ins-and-outs of home warranties so that you can try to avoid this situation and, if it does occur, know what to do.
First, let’s take a look at some common reasons as to why home warranty claims get denied:
The appliance is excluded from your home warranty coverage
This may seem obvious, but it’s one of the most common reasons for home warranty claims to be denied. When you purchase a home warranty, you decide how extensive your coverage is. That means that you make the decision about whether or not an appliance is covered. Before you submit a claim, take a look at your service contract to make sure that the appliance that you’re trying to get serviced is covered by your warranty.
Lack of maintenance
This is another common reason that claims are denied. In order for your home warranty to cover a certain appliance, you have to do the general maintenance required for that appliance. For example, it’s recommended that your furnace be serviced every year. If you don’t have it serviced and you submit a claim when it breaks down, the claim may be denied because of lack of maintenance.
Code violations or installation issues
If your appliance is installed incorrectly or if it in any way violates building or safety codes, your home warranty company may decide to deny your claim. Even if a previous homeowner is responsible for the improper installation, you’ll be held accountable.
If you’ve submitted a claim and it was denied but your appliance does not fall into any of the above categories, it may be a good idea to appeal the denial. If you decide to go that route, here are some tips:
First, check with your home warranty company or your home warranty documentation to determine the process for appealing a denied claim. Most home warranty companies have very specific steps that you have to take for a valid appeal.
Then, have the issue evaluated by a third party. Bring a professional contractor to your home to determine how much it will cost to repair your appliance and what, in their opinion, caused your appliance to malfunction.
And finally, if the third party determines that your appliance is not malfunctioning due to improper installation, a lack of maintenance, or any of the other reasons for denial listed above, contact your home warranty company and ask to speak to someone about your denied claim. It’s not uncommon for companies to overturn claim denials if you follow their appeal process closely.