BBB Business Profiles generally cover a three-year reporting period. It’s actually not insurance at all, and therefore not regulated by the Pennsylvania Insurance Department, a department spokesperson said. AWR cannot find a plumber to install the device and will not provide information to return the device or reimburse the money spent to start the process. District council members have signed letters to residents promoting a private company’s financial product: a water- and sewer-line warranty from American Water Resources (AWR), a subsidiary of the Camden-based utility giant American Water. AWR said it had roughly 3,700 customers in the city before the partnership. I decided to act like a prey and see what happed so I asked him now that I am not covered under AWR how much would you charge me? BBB remains operational and focused on serving our business community. $50 for parts. Absurd. Memphis residents complained about a similar deal last year and weren’t sure if the mailings were legitimate. Schapira said the authority’s partnership with AWR will provide energy benefits by helping reduce wasted water through leaky lateral lines. In Philadelphia, costs for water- and sewer-line repairs can reach $3,500, with full sewer-line replacement potentially costing upwards of $6,000, according to AWR. It has signed up 17,000 more since the program launched in October. District council members have signed letters to residents promoting a private company’s financial product: a water and sewer line warranty from American Water Resources (AWR). What’s more, the city has an old housing stock with aging pipes and a large impoverished population that may struggle to pay for repairs. ... American Water Resources. BBB information and Business Profiles reflect the most current information available to us. I purchased a Moen Water shutoff device from AWR, their brochure and contract includes installation. Some of the sources of information BBB relies on are temporarily unavailable. BBB asks third parties who publish complaints, reviews and/or responses on this website to affirm that the information provided is accurate. American Water Corporate. “You could be left having to pay a bill costing thousands of dollars,” said one letter signed by 1st District Councilman Mark Squilla. “By enrolling in AWR’s protection program, you can take the responsibility of paying for service line repairs off your shoulders.”. Consumer experts say home service contracts are, generally, not always smart investments. The Water Department said it is difficult to quantify how much pre-revenue, pumped-and-treated water is lost through private service lines. And in each of these periods there were different materials used, different construction methods, and different lengths of time these pipes would last,” said Howard Neukrug, former city water commissioner. Philadelphia City Hall is shown. He said $3500 because we have to hire an excavator and keep digging until we get to the city connection then replace your pipe, but if you wanna dig it yourself and call us after you reach there the price will be cheaper. After 2 days of work I exposed the city connexion and Called the plumber back but he still said $600 for curing and gluing a 3 foot pipe. And you will pay for it, Calls for water-main breaks 'overwhelm' Philly Water Department, Philadelphia rate board gives water customers some relief. BBB accredited since 10/1/2007. BBB Business Profiles are subject to change at any time. american water resources news stories - get the latest updates from 6abc. The company also won’t allow consumers to hire their own contractors. If you choose to do business with this business, please let the business know that you contacted BBB for a BBB Business Profile. How BBB Processes Complaints and Reviews, I have had this company for while and when i had a broken pipe in my front yard I called AWR to do a claim, they send a 3 rd party company that start digging and one the reached the pipe the stopped and said that you are not covered because the damage was done intentionally , by the way pipe on 4 feet deep in the ground, when I asked the guy politely on how could I get to a 4 feet deep pipe and brake it intentionally, he got offended, and proceeded to give me different scenarios like you drove over it or previous owner dig a hole broke it and covered it back up... bunch of BS. BBB remains operational and focused on serving our business community. Homeowners’ insurance policies typically don’t cover these costs, experts said. Read more. Absurd. HomeServe, based in the United Kingdom, typically charges $5 to $6 a month for water-line coverage and $10 to $12 per month for sewer-line protection. Consumer advocate Lance Haver said the Water Department should take responsibility for the lateral lines and not force homeowners to pay for the repairs. The arrangement allows the company to use the authority’s logo and Water Department’s customer mailing list to market protection plans to Philadelphia homeowners, according to the contract. The product is considered a home service warranty that covers repair and replacement costs resulting from normal wear and usage. © 2020 The Philadelphia Inquirer, LLC Terms of Use/Privacy Policy. When considering complaint information, please take into account the company's size and volume of transactions, and understand that the nature of complaints and a firm's responses to them are often more important than the number of complaints. Hired an other private company for $300. Our Homeowner Protection programs are helping customers across the country protect against unexpecte... Investor Relations. In Dallas, the city council canceled a contract with Canonsburg, Pa.-based Service Line Warranties just two months after it allowed the use of its letterhead in mailers, citing residents' “concerns with the use of the city’s name and logo by outside vendors." Proponents of the program note that homeowners are responsible for the maintenance of water and sewer lines that run underneath their land. In San Diego, some residents were so suspicious when they saw their city’s logo on advertisements that they assumed it was a scam. We’ll guide you through the process. After 2 days of work I exposed the city connexion and Called the plumber back but he still said $600 for curing and gluing a 3 foot pipe. Called AWC and after learning that the job was fix by another company they decided to side with my story and offered a refund for only $300 but the never paid for my parts $50 and the labor I put in. However, BBB does not verify the accuracy of information provided by third parties, and does not guarantee the accuracy of any information in Business Profiles. The severity of that problem is unclear. Hundreds of cities around the country, including Cleveland, San Diego, and Phoenix, have similar deals with home service companies, according to the National League of Cities. I found out that my neighbor worked for that and warned me and he said that they are practically scammers. Council members and authority officials note the deal offers discounted protection plans to city homeowners who could otherwise be on the hook for expensive service-line repairs. The official-looking letters from City Hall that advertise a private company’s warranty have made some residents wary. BBB remains operational and focused on serving our business community and our consumers throughout this crisis. In exchange, the authority gets 20 percent of the sales revenue plus an annual payment of $100,000, funds that will support staffing costs and programs at the authority, said Emily Schapira, the authority’s executive director. Extended Warranty Contract Service Companies, International Association of Better Business Bureaus. Find a location, Customer Reviews are not used in the calculation of BBB Rating. HomeServe also bid for the Energy Authority contract but offered more expensive monthly rates for consumers and 10 percent sales commission for the authority. Philadelphia City Council members want to sell you a warranty. “It’s probably an unnecessary insurance, so it’s an added cost to the homeowner.”. BBB Business Profiles may not be reproduced for sales or promotional purposes. “You have homes here that were built in the 1880s moving up to homes built in the 1950s. We appreciate your patience as we and everyone in our communities focus on addressing this crisis. “Philadelphia residents received educational postcards and letters detailing their responsibility for service line repairs, if issues should arise, from their city council member,” Palm said. Councilman At-Large Derek Green, who pushed for bringing the program to Philadelphia, said he heard about the idea from the National League of Cities, an advocacy group that serves the interests of 19,000 cities, towns, and villages across the nation. The letters bear the city’s official seal and a City Hall address, and stem from a new public-private partnership between American Water Resources and the Philadelphia Energy Authority. The marketing of some of those warranties has drawn scrutiny. The letters, which have the city seal, ask homeowners to consider buying the protection plan. Water and Sewer Line Protection in Camden, NJ. BBB is here to help. American Water Resources keeps life flowing by offering Service Line Protection Contracts to homeowners in 43 states and Washington, D.C., and currently services more than 1.9 million contracts.The company has been providing protection contracts for more than 18 years with more than 9 out of 10 customers satisfied and an A+ Rating from the Better Business Bureau. In Philadelphia, the program appears to have been successful so far. Called AWC and after learning that the job was fix by another company they decided to side with my story and offered a refund for only $300 but the never paid for my parts $50 and the labor I put in. “Unlike every other utility, including cable, the Water Department says the home owner is responsible for infrastructure the home owner does not have access to, cannot examine, and for which there is no appropriate up keep,” Haver wrote in an email. I had no choice but to do the labor myself because it was April(corona) and I couldn’t get a plumber to come soon enough. “If something needs repair or maintenance, pay for it with the money you saved, without having to negotiate any fine-print limitations or other nonsense,” she said. See BBB rating, reviews, complaints, request a quote & more. The warranty covers problems that are the subject of a Water Department notice of defect. Philly has a plan to replace decaying water pipes and sewers. (The agreement with the authority requires AWR to hire local and diverse contractors.). The letter, paid for by AWR, did not disclose the financial benefits for the authority. BBB Business Profiles are provided solely to assist you in exercising your own best judgment. She said consumers should consider saving the money they would pay monthly for warranties. Business news and analysis sent straight to your inbox every Tuesday morning. The company serves 11,000 city homeowners, a company spokesperson said. Please check out resources available to you at BBB.org/coronavirus. American Water Resources would not disclose what percentage of its customers file claims for repairs or replacements. This is a multi-location business.Need to find a different location? There is a 30-day waiting period before coverage takes effect. In addition, American Water Resources will set aside $25,000 per year to pay for service line repairs for poor residents. Investor Relations. Hired an other private company for $300. There is at least one other company that offers the service in the area. “I don’t know why councilmen would promote this product,” said Jonathan Kleinbard, a retired vice president at the University of Chicago who lives in Society Hill. 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