Recently, we received a letter from AARP, sent out jointly with a company called HomeServe. It detailed a special offer from HomeServe.
The letter focused on water lines, which are buried underground, noting that they can deteriorate over time due to age, soil condition, shifting ground and so on. Replacing broken lines, the letter said, “may cost thousands of dollars in unforeseen expenses.”
The upshot? For “as little as $5.49 a month” the company offered to insure homeowners to protect them against such costs.
While this might sound like a good idea on its face, we strongly suggest homeowners disregard such offers. In our experience, water lines almost never fail, and when they do, they typically cost less than $2,000 to replace.
And although the letter noted that “because the line is buried underground it makes a failure hard to predict,” this is simply not true. Homeowners will have ample warning that a problem is occurring if their water bills show a sudden, unexpected increase.
Even though a notice comes from a trusted name such as AARP, be aware that companies often sell their mailing lists. Employ a healthy amount of skepticism in offers affecting your pocketbook.