Our house is covered under a home warranty (HMS / Homesure, a subsidiary of Cross Country Group). I figured I would never have to use it, but we found a problem with our furnace--the heat exchanger has failed. The warranty people sent a technician to look at the problem, and he found that the furnace needs to be replaced. The home warranty people have agreed to replace the furnace which I am very pleased about. However they have come up with a laundry list of things which "aren't covered" according to them regarding the installation, such as wiring the furnace and connecting it to the duct work. These items are listed in the contract as being covered, but they are claiming that any wiring is a "modification" and an upgrade. They told us that our wiring is not to code, despite the fact that the technician never looked at the wiring, the technician is a plumber and NOT a licensed electrician (checked the state licenses), an electrician told us that nothing is wrong with it, and the warranty company couldn't give any reason why it would need an "upgrade" other than mumbling something about connections. Duct connections are a similar story. The contract even says it includes separate trades (e.g. electrician/plumber/etc) when needed for a replacement, less the deductible.
They eventually presented the option of either replacing with a basic furnace or a cash credit to have it done ourselves. Ok, so far so good!!! If we choose the replacement, they will pay their hired company to do the work (less everything they consider "not covered" which appears to be most of the installation except dropping it off). The hired company is not a dealer of the value furnace manufacturer and is not interested in sizing it properly. The cash option is great, although it is also based on a minimum installation, $1000 total.
The warranty company has been extremely hard to deal with (never call back when they say they will, virtually impossible to speak to a supervisor, don't provide anything regarding the claim or their denials in writing, and I'm not even sure if they would uphold the cash credit if we sent them an invoice copy at their request). I'm concerned because they appear to be avoiding the wording in their own contract regarding what is covered. Does anyone have any suggestions of how to deal with a company like this or getting them to uphold their own contract?
Meanwhile I don't want to operate a furnace with a bad heat exchanger, so I want to get this replaced ASAP and they seem interested in dragging everything out as long as possible.