American Home Shield [AHS]

I have been paying $47 per month on a home appliance insurance contract to American Home Shield for several years now for my home in Rancho Mirage, and was told that every appliance in my home was insured.

The contract promised that AHS would repair appliances, or replace any which could not be repaired, as long as the breakdown was from normal wear and tear.

In October, 2013, the washing machine broke down, and I called AHS for repair. The company knew the machine was 13 years old, yet it had still agreed to insure it under my contract. They do not inspect equipment when they insure clients, and neither do they ask about the age of their customers’ appliances when writing their insurance.

In early November, I received a letter from AHS denying my claim; it is enclosed (Ref 1.) I am writing today because the company fraudulently claimed that the breakdown was not due to normal wear and tear, but to a “bent tub, ” freeing them from their contractual obligation to repair or replace my machine. There was no bent tub; in fact, the breakdown was due to normal wear and tear. That is my evaluation, based on more than thirty years as a Mechanical Engineer.

I enclose a second independent opinion from Al Morcos, the owner of Westwood Appliances, in business for 42 years in Los Angeles. He added a handwritten note at the bottom of the enclosed letter from AHS saying, “In my 42 years of experience, I have yet to see a bent tub. Next to impossible.” On a diagram Mr. Morcos provided to me, showing the washing machine assembly, he added an arrow to a part, and noted, “This [part] could break due to corrosion.”

In sum, the Westwood Appliances owner found the diagnosis of American Home Shield's subcontractor “impossible.” Mr. Morcos may be reached at tel. [protected].

The purpose of my correspondence today is to bring to your attention practices that penalize the consumer and deny claims they should pay. Not everybody has a technical background, and neither do my wife or daughter accept the verdict of AHS’ “Expert”.

We depend on State and Federal Agencies to be protected from unfair practices by companies like AHS.