Coytee Posted June 12, 2009 Share Posted June 12, 2009 When I built my house, I ended up having my (newly installed) AC unit go out... when they came out to fix it they offered me an extended warranty and I bought it. (2 units, $350 each) Facts per their paperwork: Installation Date: 8/9/1998 (original install) Original warranty is for 1 year on equipment. Application Date: 7/6/1999 (date when AC went out and I bought this 10 year warranty, copy of my cancelled check is dated same and attached to paperwork) Probably irrelevant but they've been out EVER SINGLE year since then to fix this system, sometimes even twice/three times per year. It's been a royal nightmare to be honest. I've certainly received my $700 back in what I would have otherwise paid. Have yet another problem, a dead compressor Here's some exact wording of the contract which is in my hands, I'm skipping over part of it that talks about "not covering diagnostic calls, unit must be installed per code..." OK... it says: "For length of contract, a consumer can protect himself against large, unexpected repair costs. Datacor Inc., will pay for all parts and labor for repairs needed as a result of normal use of the warranted product for the purchased protection period. The coverage begins when the installing dealer and original equipment manufacturer warranty ends. The conditions covering this warranty are outlined below" ("below" are comments like 'must be installed per code and the like... bold added by me) Turn the page and there's another interesting comment: "Datacors 3,5,10 year warranties must be purchased within 1 year of the original start-up date of equipment. Coverage starts on the 91st day after start-up provided the warranty has been purchased" For me, the first comment way above in bold (begins when mfg warranty ends) means this 10 year contract BEGINS on 8/9/1999 and I have 10 years from there or, until this coming August 9 to be fully covered under the provisions of this contract. The next comment of theirs though... totally confuses me. It implies the coverage starts on the 91st day after start-up. Is start-up the installation date (my presumption is yes). Is the startup date the start date for the extended coverage? The installer says this coverage runs concurrent to the MFG's warranty and is 10 years from date of installation or a NINE year extension, 10 years total. Above it clearly states it begins AFTER MFG's warranty ends, indicating 11 years coverage. I'm looking at a $1,600 fix it bill... I'd like to know what opinions are on this (I know what opinions are worth at times!) I'm looking to either: A) fix this under warranty, keep it until it dies again (which will surely be next spring at best), then replace with $19K geothermal system. fix this under warranty, then rip it out (though working) and give it to my brother in law who's trying to rebuild his life/house south of New Orleans (lost 100% in Katrina). Replace with geo-thermal system C) Pay to fix it, let brother in 'buy it from me' for that price, give it to him, then replace with geothermal D) Yank it out in current condition, give to him and let him deal with it, replace with geo. If this warranty is valid or invalid will have a clear impact on what I do. They of course are stating it's no longer valid but according to some of the wording I interpret it would be valid. Then that last part confuses the dickens out of me. Anyone here with contract law expertise, care to opine? Quote Link to comment Share on other sites More sharing options...
ace168516 Posted June 12, 2009 Share Posted June 12, 2009 I wanted to look at any wording on their website, and noticed that Datacor is no longer servicing their warranties. The policy number has a reference to who is actually insruing the policy. Info below...I would agree with your confusion regarding the 91st day comment. It would have to be after original start up, because if if was after the installer or manufactures warranty, there would be a 3 month gap in coverage, which would make no sense. I might find out who actually covers your policy and tell them the situation and quote the warranty description that benefits your situation the most. If they cover it ask for a list of approved servicers and see if there is someone else who can do the work, since the installer company obviously does not want to deal with it or maybe deal with the change in insurance....they are probably covering their tail incase there are issues. ACE Dear Datacor Contractor,In 1991 I founded Datacor Inc. to bring tothe HVAC market the most comprehensive, secure program in the industry.For years we succeeded in doing just that but with the dramatic changein the financial world insurance companies have refocused their longterm business plans and we were informed by GFIC, our current carrier,that they would no longer provide coverage for future Datacorcontracts. Without insurance coveage Datacor can no longer remain open.Effectiveimmediately all claims are to be sent directly to the insurance carrierthat provided the initial coverage. Please submit your claims in thesame manner in which you sent them to Datacor. To identify the correctinsurance carrier simply look at the last six digits of your twelvedigit contract number and if it falls into the range below submit theclaim to that insurance company. For example if your contract number is500212-194881 you would send your claim to LyndonInsurance Company. All outstanding claims that have not been processedby Datacor are being sent directly to the proper carrier.It hasbeen an honor serving you and your staff. I know it is the goal of eachand everyone involved at the insurance companies to make this as smootha transition as possible. Thank you very much.Zurich InsuranceUp thru Contract #1142101400 American LaneTower 2 Floor 12Schaumberg IL 60196Attn: Judy CookFax 1-866-463-0884Kemper Insurance CoContract #114211 thru #1720121 Kemper Dr.Long Grove IL 60049800-833-0355847-320-2776 faxSusan Mauer - Warranty Claim ManagerLyndon - Protective Insurance CoContract #172013 thru #203781Datacor Claims AdministrationProtectiveP.O. Box 770Deerfield IL 60015866-232-3388Heritage Insurance CoContract #203782 thru 238309Loss Control Specialists400 Metro Place North, Suite 360Dublin OH 43017877-356-1500General Fidelity Insurance CoContract #238310 and upGFIC will be mailing claim instructions to you shortly.COHEN APPPLIANCE CUSTOMERSIfyou purchased a Datacor appliance contract from Cohens Appliance andrequire service please contact one of the following service companies.Mr. Appliance636-583-3773Authorized Appliance636-940-7400Paymentfor service must be made at time of repair completiton. Please submittyour bill to the appropriate insurance company listed above. Toidentify the correct insurance carrier simply look at the last sixdigits of you twelve digit contract number and if it falls into therange below submit the claim to that insurance company. For example ifyour contract number is 500212-194881 you would sendyour claim to Lyndon Insurance Company. All outstanding claims thathave not been processed by Datacor are being sent directly to theproper carrier.Don HoffmanPresident Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 12, 2009 Author Share Posted June 12, 2009 First off, intersting find you got there! Second... I'm looking at the paperwork they gave me and guess what... I do not see ANY contract number. There is a spot for it to be filled in. Did they simply omit it? Did they pocket my check and never actually bought this from Datacor? hmm... The $700 check I wrote out was directly to the company that installed this for me, I did NOT write the check to Datacor (copy of check in hand). Quote Link to comment Share on other sites More sharing options...
michael hurd Posted June 12, 2009 Share Posted June 12, 2009 Most all warranties are a licence to scam, it doesn't matter what industry it pertains to. Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 12, 2009 Author Share Posted June 12, 2009 My lack of contract number was oversight. Just called contractor and he gave it to me over phone. Quote Link to comment Share on other sites More sharing options...
ace168516 Posted June 12, 2009 Share Posted June 12, 2009 I am wondering with that change in processing if you company may not want to deal with the insurance company since Datacor is notdoing the legwork anymore...they might be worried about getting paid, or if not, they might be trying to sell you a new system I am sure. Do the legwork and take them out of the equation and go from there. ACE Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 12, 2009 Author Share Posted June 12, 2009 I tried to do that a year ago when we had a snafu. The phone number I was given was NEVER answered....never returned the call either. Now, it seems it's been turned over to Zurich (so my contractor says) and I call the gal who's name you see above. I call Zurich in IL, gal who answers says I need to call this lady (name above) at a different number, a 212 number. I call it....get her answering machine and she's working out of London for a while... This is nuts... I'm supposed to talk to someone in London about this contract? Soooooooooooooooo, I call back and speak to someone else. They say I need the customer service department. Long story short, I get THEIR ansering machine and am currently waiting for them to call me back (hahahaha). I talked to my contractor this morning, he simply followed directions of faxing said paperwork to the gal above and her fax number. He has no idea she's out of the country for a while. Meanwhile, back at the ranch, I've got a unit that is dead. Whether or not this is fixed under warranty, out of pocket or junked.... I will admit to being glad to be done with this contractor after this is over. by the way (Ace), this contractor isn't trying to sell me anything new. I called someone else to have them look at it. They diagnosed it as dead and I'm the one who brought up the idea of replacing it. Quote Link to comment Share on other sites More sharing options...
Tom Adams Posted June 12, 2009 Share Posted June 12, 2009 Most all warranties are a licence to scam, it doesn't matter what industry it pertains to. Are you trying to imply Michael that it is a coincidence that whenever you go to any major US city and look at the name at the top of the tallest/prettiest buildings it's either: a) and insurance company or a bank???? Tom Quote Link to comment Share on other sites More sharing options...
Jeff Matthews Posted June 12, 2009 Share Posted June 12, 2009 Most all warranties are a licence to scam, it doesn't matter what industry it pertains to. Are you trying to imply Michael that it is a coincidence that whenever you go to any major US city and look at the name at the top of the tallest/prettiest buildings it's either: a) and insurance company or a bank???? Tom If he's not, then, speaking for myself, "yes." Quote Link to comment Share on other sites More sharing options...
Jeff Matthews Posted June 12, 2009 Share Posted June 12, 2009 Richard, just a guess, but it might be saying that coverage begins when mfg and dealer warranty ends, but in no event will it begin before the 91st day afetyr installation (in case the dealer of mfg warranty is shorter). Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 12, 2009 Author Share Posted June 12, 2009 but in no event will it begin before the 91st day afetyr installation (in case the dealer of mfg warranty is shorter). Thank you for that thought. I didn't look at it that way. Quote Link to comment Share on other sites More sharing options...
djk Posted June 12, 2009 Share Posted June 12, 2009 All extended warranties are a scam (unless from the manufacturer of the equipment). Quote Link to comment Share on other sites More sharing options...
Jeff Matthews Posted June 12, 2009 Share Posted June 12, 2009 Yep. I should start an extended warranty company. Paper is cheap. [:|] Edit: But apparently Richard received more than he paid, and I have heard of a few others that did okay with them. Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 13, 2009 Author Share Posted June 13, 2009 I've always felt extended warranties to be...dubious at best. As a standard practice I don't buy them. I must admit... I don't know why I did here... what I want to say is "I had a little voice in the back of my head" however that will probably get me weird looks for talking to myself [] I actually remember the day very well when I did it. Although we seem to have some disagreements today on the wording of the contract at this calandar date, I must say, my installer has been out whenever I called them and fixed the system. They even sent me a bill only once and I inquired about this extended contract... she called back later telling me it was her mistake and to disregard the bill. Given they have unfortunatly been out literally EVERY year since installation, I have in fact, come out ahead (replaced coil once, circuit boards, fixed several leaks in copper tubes and memory tells me they actually replaced an air handler once although I might be confusing that with the coil) Regardless.... coming from someone who doesn't buy these and WISHES this was money flushed down the drain, I must say in this circumstance, it turned out to be worth it. Makes me wonder what I'll do when my next system is installed and the guy asks if I want to pay 10% extended warranty... Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 13, 2009 Author Share Posted June 13, 2009 I might add... I sent the contractor a certified letter today (3 pages detailing the facts as I understand them... actually written for the Judge in case it is read by one). He's been wanting me to do the legwork with the insurance company to find out the facts... I personally don't think it's my job BUT have been trying none the less (with little luck I might add, even reaching someone) The gal he faxed the work order to isn't in champaign Il, she's not even in New York but is currently working out of London England. Was a polite letter but I basically said I was going to give him three days after he received it to simply contact me about a game plan otherwise I have to presume his attitude is to do nothing. I will then deal with getting it fixed and let an unbiased third party see the facts and decide if I am right or wrong. Guess we'll know more next week. Quote Link to comment Share on other sites More sharing options...
Jeff Matthews Posted June 13, 2009 Share Posted June 13, 2009 FWIW (and everyone has their opinions), after researching for quite some time, my conclusion as to brands was that the compressors seem to all be manufactured by a common supplier or two. I read lots of bad reviews for every brand out there and finally concluded I might as well go with the least exepensive, efficient unit. That was 4 years ago or so. I bought the Goodman 16-seer units, and I have been happy with them. They were very inexpensive through an e-bayer called Desco. Also, IMO, variable speed blowers are over-rated. I wouldn't pay the extra. That's what I have, and my conclusion is "big deal." Quote Link to comment Share on other sites More sharing options...
Coytee Posted June 13, 2009 Author Share Posted June 13, 2009 FWIW (and everyone has their opinions), after researching for quite some time, my conclusion as to brands was that the compressors seem to all be manufactured by a common supplier or two. I read lots of bad reviews for every brand out there and finally concluded I might as well go with the least exepensive, efficient unit. I didn't know that although it makes sense like many things. I was told several times regarding this situation... "the brand doesn't matter, it's ALL about the installation" Quote Link to comment Share on other sites More sharing options...
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