HOUSTON, TEXAS -- Here is how the Allied Home Warranty scam works. They charge you a $60 service call fee, about the same you would pay for any other company for a service call. Then they over-quote the cost of repairs and provide a small token allowance toward the repair or they will outright refuse to make the repair by calling it a "modification" and not covered by the contract.
For example, if your water heater breaks they charge $60 to come look at it. Then they may tell you it will be $1,500 to replace it and your warranty gives you a $200 discount, so it will be $1,300. You could have called your own plumber and had the same work done for half the cost, but they require you to use their own repair company (NRG Home Services which is owned by the same company).
In my case they refused to fix my plumbing problem under warranty. The NRG technician said NRG would do it, but they would charge me over $8,000 to do it. I ended up paying someone else almost $2,000 less to make the same repairs. How does Allied Home Warranty get an A+ rating with the BBB? They pay to be a member and the BBB doesn't rate their members low. Do a web search for "BBB pay for ratings" for the story. In my case the BBB just flatly refused to even accept my complaint. Don't think about suing Allied. The one part of the contract that they honor is the part that prohibits you from suing them.
Here is the proper way to file a complaint against Allied Home Warranty. File a complaint with the state agency that licenses them, the Texas Real Estate Commission. Search for "TREC residential service program" and click the link for complaints. Allied is required by law to respond.
I filed an open records request for complaints against Allied Home Warranty and found that in some cases they settled financially with people filing complaints against them in exchange for dropping the complaint. Additionally, you may file a deceptive trade practices act complaint with the Texas Attorney General's Office. Search for "Texas attorney general deceptive trade practices."
AUSTIN, TEXAS -- Terrible. My AC stopped working. I received my own estimates for around $1000 and was told I had to replace the whole outside unit. I then called Allied who sent someone out who also confirmed that you couldn't just replace the one broken part, you had to replace the whole outside unit, but they were going to charge $2000.
The kicker, Allied said they would only pay $700 to replace the one broken piece because the rest is a "modification". Never mind that both repair people said it's not even possible to only replace the one piece. Allied is a scam.
SAN ANTONIO, TEXAS -- I had a routine check done per an email from Allied. So one of THEIR vendors out for the recommended spring maintenance (AC3000). They said I need an evaporator coil replaced as it is leaking. They then called me to say it was improper installation (the standard line they give to deny claims) and a preexisting condition.
I spoke with the inspector who did the inspection on the home at closing in August 2013 and he states there is no indication that this is a true statement. I have a copy of the from the inspection in which he documented the inspection of the property with photographs. He stated that the A/C and heater were installed properly when the home was built and that there was no issue at that time. He inspected the entire system thoroughly, I might add.
I also contacted the appraiser who took photographs and documented the condition of the home prior to purchase and also is prepared to provide a rebuttal to their statements should the word of the inspector not suffice. In addition I contacted an independent reputable AC company for a second opinion (Jon Wayne) and they too refute Allied Home Warranty's claim.
As mentioned before that the installation was not faulty or improper as they state (improperly denied claims on the grounds of "improper installation" or "preexisting condition") and I find it hard to believe they could make that determination considering no inspection of the appliances in question was carried out at the time the policy was issued. I have written, called, and waited for the promised response from Allied who supposedly was escalating the dispute and having the situation reviewed.
Allied has systematically avoided and ignored me every time I have reached out to them. Numerous emails have gone unanswered. I call and am promised a return phone call that never happens, and they have hung up on me 5 times after placing me on hold when they were going to get me to the supervisor who was reviewing the situation. No, I was not short, rude or abusive to the call center representative... it is not their fault the company is dishonest and they are just on a script. I get it. So there was no need to disconnect the call after it was transferred.
I have an 81 year old parent living in the home who cannot tolerate heat or humidity as she is post-stroke with high blood pressure, diabetes, and a heart condition. It has been several months and I had to get the repair done so I do expect reimbursement as it is medically necessary for her to be in a climate-controlled area. Per her physician, and I can provide verification for that as well. I understand that they receive many claims and use a company they have a vested interest in to mark up the cost of repairs. However, Allied routinely, it seems, improperly rejects claims made by customers.
I called Jon Wayne as they are recommended by my attorney, friends, three local TV stations, and an investigative reporter who is documenting my journey with Allied now. We found a former employee who explained to me that Allied trains service providers to deny all claims and refuse to authorize replacement of appliances or parts which explains why my water softener and ice maker were given the same reasons for denial of repair, although I am curious to know how an Allied technician can tell that a factory installed ice maker in a refrigerator is not built correctly so the claim is automatically denied...
I am sure the manufacturer would benefit from Allied's expertise on the assembly line where the refrigerator was built... Yes, that is sarcasm. And at this point I am entitled to it. This warranty has no value and the entire company is built on lies.
AUSTIN, TEXAS -- I switched from my previous warranty provider after receiving a marketing pamphlet in the mail offering a better and improved warranty product for less money, service by Texans for Texans. I had great service with previous provider but thought would give my business to a Tx company who had a pretty good line of bull which proved to be outright lies!!!
I first reported a leaky kitchen faucet on 7/1/2013. Was told I would hear from a plumber the next day. At the end of the next day I had not heard from plumber so I called Allied and emailed them that I did not get a call... I left message because you can't ever get anyone on the phone. No one called or responded to my email. I called the next day and was hung up on twice supposedly due to technical issues on their phone. No call back.
I called back again and got someone who said previous plumber wasn't coming out and that a new plumber would be calling. That plumber never called but I called them and they showed up that afternoon and said they would try to get the seals to fix the faucet. The plumber said he hesitated to come out on this call because Allied owed them over five hundred dollars for previous work and couldn't get paid. They wouldn't start the work until they got authority from Allied that they would pay to repair or replace the faucet.
Allied representative told me on the phone that they only paid for builder's grade and regardless of what I had in the kitchen. They would only pay for builders grade. I asked what amount was builder's grade. Their response was $50.00.. You can buy a faucet anywhere close to what I had for $50 even builder's grade.. I had a solid brass high end faucet..
I finally accepted that I would accept builder's grade faucet but not one for $50... got nowhere.. Said would only pay $50. I asked for mgr and was told mgr would call me next day. No response.. I called and asked for Mgr and left 2 voice messages, no response... called and asked for someone above mgr and was told they were not allowed to give out that information. To this date, no response from mgr.
When plumber called to get OK to install my faucet I had to buy and pay for, Allied told plumber I had to pay the $30 for the connections to make up the faucet above the $60 service fee. Apparently they would pay only for faucet but not for the water lines to make up the faucet to water lines... I am reporting this scam to the Tx Dept of Ins., BBB and the chamber of commerce and spent time writing this so hopefully I can deter future interested customers from ever considering this sorry, unprofessional and scandalous company from selling any other poor soul who would be far better off keeping their money in their pocket and not for Allied warrant disservice!!!
HOUSTON, TEXAS -- Allied Home Warranty refused to honor its "One-page contract" and repair my plumbing problem. Why do they have a "One-page contract?" Because it is vague and allows them to refuse to honor repair requests at their discretion. Their affiliated contractor is NRG Home Services. NRG and Allied are owned by the same company. It even states so on their website. NRG said my plumbing repairs would not be covered by Allied, but that NRG would do them for $8,400 dollars and would even be so kind as to offer financing.
NRG said Allied would provide no further repairs to my plumbing even though it received a clean bill of health by a licensed inspector less than two months earlier. Allied said repairing or replacing pipes is a "modification" and their contract doesn't cover modifications. So, replacing or repairing anything can be considered a modification and is therefore not covered if it would cost Allied too much money to fix.
Allied Home Warranty has an A+ rating with the Better Business Bureau. How do they manage that? They pay to be a member of the BBB and the BBB doesn't want to rate their members low. It hurts their business model. Here is the response I got to my complaint with the BBB for Allied Home Warranty failing to make the repairs required by their contract:
-"There are some complaints the BBB cannot process due to our by-laws and national guidelines. The BBB cannot intervene with issues regarding store or company policy. Please understand policies are not required to be posted in the stores or on receipts in the State of Texas. It is very important that consumers ask a lot of questions prior to purchasing a product or use a service to ensure that they understand the company's refund/return/exchange policy clearly.
You may wish to pursue your issue through the court system. The number for Small Claims Court information in Harris County is 713.755.5137. The BBB has not notified the other party in question but will keep your letter on file. We sincerely hope you can find another way to resolve your dispute."-
It should be noted that Allied Home Warranty's "One-page contract" prohibits you from filing a lawsuit against them (small claims court). It requires you to go through arbitration instead.
GRANBURY, TEXAS -- Allied Home Warranty has terrible customer service. I have worked in different forms of customer service for 6 years so trust me when I say I know a thing or two about how you should treat your paying customers! Plus, I have common sense about how you should treat other people. Allied Home Warranty knows nothing about customer service.
My husband and I filed a service request 2 weeks ago for a simple dishwasher repair and it is still not fixed (simple enough that I diagnosed the problem and my husband could have easily fixed it in 5 minutes). Since we pay for their service we decided to have them fix the problem instead of us doing the repair (this is what a home warranty company is for, right??).
After multiple un-returned phone calls and voice mails spanning this two week time, my husband waited for over an hour on hold today (over two hours on the phone in total and his entire afternoon) only to find out they won't replace the simple part. They will only give us $229 cash to replace our $600 Whirlpool Gold dishwasher.
Wait, how did we go from replacing a simple part to replacing the entire thing?!? After filing a complaint with them and speaking to a supervisor they will give us $249, instead of $229. Hold the phone, you shouldn't have gone out of your way (This is sarcasm, if you couldn't tell). Why they won't just replace the simple part and be done with it is beyond me.
Fine, we will take the measly amount offered and be done. The bigger issue here is how we were treated. You are a company that provides a service to those that need your help. Provide this service. Answer their phone calls and call them back when they leave you a message. Offer whatever you can, within reason, to make the customer happy. This is how the customer service industry works.
If you search for Allied Home Warranty reviews you will find many people who feel the same way about this company as we do. I have never written a review online for anything, ever. I felt that need to warn people not to waste their money on this company and to be aware of what they are getting into. Do not insure Allied Home Warranty!
HOUSTON, TEXAS -- The garage door opener went out. They sent out tech who changed out our opener with new one. A year and a half goes by and garage door starts cracking in middle and then garage door opener goes out. Call Allied and tech comes out says new garage door opener was not installed correctly and not to code. He said it was hung too high and too close to ceiling and put too much strain on door causing fatigue and it cracked.
He also said springs should have been replaced. Called Allied and they said they are not covering garage door opener because there is a crack in center of door. We told them that the crack is due to install error caused by their tech. They refused to cover damages.
A/C was replaced in 2010 through Allied. Our cost $1600. Fast forward, had A/C tune up end of fall 2013. Allied tech says everything is fine. 2 months later A/C compressor goes out on a 3 year old unit. Allied says compressor is under manufacturer's warranty so they are not covering it. That is fine, I understand that.
What I don't understand is after manufacturer replaces part, Allied should cover labor. Wrong! They refuse to cover labor if any appliance goes bad even if they were the ones that put the new one in. My labor cost to have new compressor installed, $600. I am cancelling right away and seeking attorney. This company has changed its contract several times in the 4 years I have had them. Shame on you Allied Home Warranty.
DALLAS, TEXAS -- Why do the contractors you send out to my place always want to take money from me under the table and tell me something different every time? I have had three contractors out from your company and they all try to screw me. The one you sent today asked me to pay him 500 to clean my AC then he would submit to you what was really wrong. This is not acceptable. I need my AC FIXED NOW and don't need any more money stolen from me by your company or the contractors you use.
I am not paying 500 for a guy to clean my AC then have it replaced because it's broken. I have paperwork stating my unit was cleaned and maintenance done to it the first of this year and I have had it taken care of every year so this is a complete scam and I am tired of Allied wasting my time!!!!! I have had no AC for the past month because of your lousy service and I want something done ASAP!!!
I am writing to say your company has stolen monies from my family and I. Allied has lied, cheated, and sold false services to the American people including myself and my family. We thought buying a home plan through you was a wise decision but in reality we were throwing our money away. I have purchased three warranty plans from your company to cover three of my four homes and finally had to use your service. And let me tell you I am so upset and mad at the way your employees run your business.
They have lied to me over and over again for weeks promising to fix my AC that went out. I have emails and proof, then they denied me any help and told me to go away. I have been treated so terrible by your company and have told all my family and friends that are with you to cancel and go to another company. You have lied to me and the Better Business Bureau. I have proof that Allied lies to their customer and will bring this to the public if my problems are not resolved immediately!!!!
I want my AC fixed like you promised me it would be taken care of!!!! If you cannot do this then I want all my money back from all three of my properties. I want a full refund over the past several years I have paid you coverage then you lie to me and deny the coverage I paid for. This is unacceptable!!!!! I want a complete and full refund of all monies paid to you from all my properties including the following: Little Elm TX; Dallas, TX; Carrollton, TX.
I have been sold a false service. I have filed complaints with the BBB. I have contacted my attorney and will soon file a small claim against your company and sue you for the maximum amount. You called and sold me a service that you will not honor. I demand a full and immediate refund all monies paid to you on all my three properties now!!!! Allied even wrote me and the BBB and said they would cover the repair but then at the last minute they deny my coverage again saying I needed to pay 500 to clean the unit before they would replace it, this is total BS.
You sent an email to the BBB and me saying you would cover my repairs to Bent Tree Forest Drive then you turn around and tell me that you will not. I have been lied to many times by your company and have all the evidence I need to sue you for every cent back! I demand FULL REFUNDS on every property so I can take my business somewhere else!!!!! I have your warranty coverage on three of my four homes and yet you deny me the service you promise. And don't appreciate being promised a warranty and then when I need to use it you deny what I pay for.
You talked me into covering my condo. Now you will not cover something because it broke. This is not a way to run a business. And if you don't honor what you sold me then I want a full refund!!! You charge me for a service call and didn't provide any service nor honor the service you promised to me!!! You cannot run a business like this and treat your customers in such a way. This is not right. Please help us or cancel my services and give my money back.
I have 3 homes covered under this warranty but will cancel them all now that I see I have wasted money on Allied and they will do anything not to cover something that is major. They promise service on the website but when you need them they deny you!!!! I have my condo I purchased covered under your warranty in Dallas. This is the unit you denied my service with when I suddenly had a problem, and over the past couple years of me owning it never had an issue. I will send this email to every organization worldwide to let everyone know of your lies and horrible service to the public. I will not tolerate this type of business activities!!!!!!
HOUSTON, TEXAS -- After paying on this policy for two years it took them 6 months to get someone out to look at some water spots on the ceiling by outgoing vents. They said it was "pre-existing" problem. Wouldn't pay. Three visits for three different problems all seem to be from pre-existing problems. I cancelled today.
HOUSTON, TEXAS -- Attention realtors and customers, do not purchase an Allied Warranty! They own the service company and will diagnose bogus repair and replacement and then deny coverage. They are profiting on both ends at the customer's expense! Huge conflict of interest!