Misleading Letters Heading To Rock Island County Residents - KWQC-TV6 News and Weather For The Quad Cities -

Misleading Letters Heading To Rock Island County Residents

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Rock Island County residents have been getting letters in the mail saying they're not signed up for a water line warranty.

Those letters are coming from a company based in Connecticut.

And they're causing some confusion.

The letters first popped up in Des Moines.

With the Des Moines Better Business Bureau warning homeowners to read the notice carefully.

Then they arrived in Baton Rouge, Louisiana.

Where residents said the letters seemed pretty vague.

Now they're here in Rock Island County.

And the Rock Island public works department says its customers aren't sure what they need to do.

"We don't want people to have double coverage because they're confused by the mailing," says Assistant City Manager Robert Hawes.

It appears these letters are blanketing the area. Causing Rock Island residents to wonder if they've lost their coverage. The letters look official and have a warning saying records indicate they're not signed up.

Hawes says, "If they're signed up with us, it's on their water bill."

Hawes say HomeServe USA is not the first company to sell these water warranties in the area. Older homes are vulnerable to having their city connections fail. But this type of insurance coverage is optional.

"About two months ago I saw water down on the city sidewalk, and it didn't dry up, I kept thinking it was going to disappear and it never disappeared," says Marilyn McKinley.

She's lived in Rock Island's Broadway district for 20 years. She just had her water line replaced Wednesday. Using her insurance policy from the City.

"They had three men here within five minutes after I had talked to them."

She saw a t.v. ad a few years ago similar to the letters selling a water warranty. She chose to sign up for Rock Island's program instead.

"Then I would know it was the city doing it rather than having somebody who would take my money and no guarantee that they would do anything."

HomeServe's letter says customers can get a refund if they find out their utility company offers similar coverage. The Iowa Attorney Generals office says they've received no complaints about HomeServe delivering its product. But the Attorney General offices in Ohio, Kentucky, and Massachusetts have all taken action against the company for deceptive marketing practices.

Moline and East Moline are also getting calls from residents.

Officials say you should read the fine print on any insurance policy.

The Better Business Bureau is currently reviewing its grade for HomeServe USA.