Recently, my (homeowners insurance company) scheduled an inspection. The agent came to my home to take pictures of my roof, inside/outside HVAC, electrical panel, water heater, and underneath all the sinks for the renewal policy. Last week, I received a letter from my (insurance agent), which stated:
“(Your insurance company) recently conducted an inspection of your property which shows the following: REQUIRED ITEM: 16 year old water heater has exceeded its expected service life. Replacement is required to avoid underwriting action.
Please submit photos/documents showing proof of repairs within the next 30 days. Failure to comply could result in cancellation or nonrenewal of your policy.”
My water heater is working fine. However, based solely on age, I am being forced to replace it.
I went to (my agency and a representative) stated … they are being proactive, having homeowners repair/replace in advance of failures, which could cost more in damages to the home. She said (they) will reimburse up to $400 on the water heater and will give a step-down on my deductible. I asked (the representative) to shop the other companies they write for. She stated several companies are going to this and recommended I do the replacement. It would not look good to have a “non-renewal” on my record that other companies would not want to sell insurance to me.
I must have a licensed professional install it, including all upgrades needed to meet current codes. I must present a receipt and invoice from said professional and take pictures once completed. I have until Oct. 30 to submit this to my insurance agent. I asked I couldn’t replace it myself and she said unlicensed people usually end up causing more damage. Also, she said my HVAC is 19 years old and my roof is 15 years old, and that it won’t be long before they will need to be replaced.
My first estimate was $2,450 for the water heater work. This estimate was given over the phone, site unseen. I am calling plumbers hoping someone will install it for less than $2,000.
So, how about your equipment and roof? Your parents? Or your friend, the single mother? This is not right and I wanted everyone to know.
Bridget “Becky” Kelley, Milton
This article originally appeared on Santa Rosa Press Gazette: LETTER: Insurance unfairly raising homeowners’ cost