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Update by user Apr 09

PissedConsumer asked me today (4/9/2017) for an update.Here's an update: DelCo and HomeServe so far are both refusing to tell customers the truth regarding the low failure rate of waterlines in the DelCo Service.

Worse, DelCo is now manufacturing excuses, diversions, illogic and the like, all part of the usual COVER UP to avoid both explaining this wacko, illegitimate deal they agreed to with HomeServe, and to avoid now doing something to get the SCAM affirmatively stopped. The waterline protection program is a scam no matter how you slice and dice the DATA (none of which data, by the way, has been controverted by anybody since I published the data) and no matter how indulgent you are regarding any of the program particulars or motives of the parties that put this SCAM together.

I hope somebody with more authority than I can just simply get this stopped because it represents a substantial theft of money from water customers people who are being out and out DECEIVED.If you want the paper I wrote on this, send an e-mail to kgainer@columbus.rr.com and I will e-mail a .pdf copy to you.

Update by user Apr 04

A brief economic analysis of the impact of HomeServe's program on the local economy has been published as "ECONOMIC LOSSES ATTRIBUTABLE TO HOMESERVE’S WATER SERVICE LINE REPAIR CONTRACTS SOLD TO CUSTOMERS OF DELCO WATER COMPANY". The paper is posted at academia.edu or you can contact me at kgainer@columbus.rr.com and I will e-mail a copy to you.

Original review posted by user Mar 10

HomeServe has entered into some sort of "partnership" with DelCo (a water utility located in the Columbus, Ohio area) under which HomeServe will be attempting to sell an exterior water line repair service to DelCo customers.I have no idea what the exact nature of this partnership is because so far both HomeServe and DelCo have refused to disclose to me, a DelCo customer, a copy of the Agreement.

This refusal is probably due to their desire to conceal as many details of the “partnership” as possible from the PUBLIC. Why else would they fail to be above-aboard and get everything out in the open? Customers who sign up for the HomeServe exterior water line repair service are assessed a monthly fee. But, according to a telephone conversation that I had on March 1st with Glenn Marzluf, who is DelCo's General Manager and CEO, there is only a 1 in 500 chance that in any given year a DelCo customer's exterior water service line will develop a problem.

In percentage terms, that means that the annual failure rate of DelCo water service lines to homes is 0.2% or, rounded, the failure rate is ZERO! HOMESERVE'S FAILURE TO DISCLOSE TO DELCO CUSTOMERS that the actual exterior water line failure rate is close to zero means that the program is in essence a scam that will just simply create a stream of monthly payments from ratepayers here in Ohio all to benefit of HomeServe. Initial estimates, which are being refined in a paper that I will be publishing shortly, are that on a net basis consumers and the local economy here could LOSE HUNDREDS OF THOUSANDS OF DOLLARS per year, depending on how many sign up for this scam. In Ohio alone, there are 84 complaints filed with the Ohio Attorney General against HomeServe.

If you input the search string "HomeServe scam" in a Google search you will see article after article after article discussing the inherently deceptive manner in which this unnecessary service is being sold.

This company is preying on the ignorant, naive, and most vulnerable.I'll have much more to say shortly when my investigation of this incident involving DelCo here in the Columbus, Ohio area is complete.

Reason of review: HomeServe composes egregiously DECEPTIVE advertising and the waterline service offer simply exploits consumers' lack of awareness that the failure rate of these lines is close to ZERO..

Preferred solution: The failure rate experienced by consumers MUST BE CLEARLY AND CONSPICUOUSLY DISCLOSED ON ALL ADVERTISING MATERIAL. The cost of the vended service MUST have a rational relationship to the actual incidence of loss..

I didn't like: Deceptive advertising, Exploitative tactics, Gaming of the system.

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