Voices

Headline was ‘misleading,’ ‘defamatory’

Our firm represents HomeServe USA Corp., a company that provides home emergency repair services to more than 1.8 million consumers in 48 States across the country, including Vermont.

I am writing to express our concern about a troubling headline, “Public Works Department warns of misleading solicitation by pipe insurance firm,” which appeared above an article about our client published in The Commons on Jan. 28.

The headline is problematic because not only does it fail to accurately reflect the content of the story and the news release on which the story is based, it also defames our client.

Although the story is based on a news release issued by the Town of Brattleboro Water Department, that release (as published on iBrattleboro.com) is not phrased as a “warning,” nor does it state that HomeServe USA's mailings are “misleading.” The release simply states that HomeServe USA “is an independent company that offers residential repair coverage plans and is not affiliated with the local utility.”

By way of background:

• HomeServe USA is part of a service industry that has developed over the past 10 years and allows homeowners to purchase protection against the cost and inconvenience associated with breaks in their water or sewer service lines. The development of this industry is, in part, the result of America's deteriorating infrastructure, where such events are a common daily occurrence.

• HomeServe USA, which has been in business since 2002, is an American subsidiary of a British company, HomeServe PLC. Founded in 1993, HomeServe PLC is a publicly held company listed on the London Stock Exchange and has operations in the United States, the United Kingdom, France, Spain, Italy, and Germany.

• HomeServe USA is accredited by the Better Business Bureau and enjoys an A rating from the organization.

• HomeServe USA services more than 2.5 million contracts in 48 States. (Altogether, HomeServe PLC and its affiliates serve 5.9 million customers and more than 10.9 million home emergency repair plans in force worldwide, in partnership with more than 90 companies, including 70 major utility providers.)

• On average, across its various product lines, HomeServe USA sends a technician to help a consumer about once every 90 seconds, every day. As a group, HomeServe companies annually perform in excess of 1.6 million repairs worldwide. Many of these repairs are to residential water and sewer service lines.

• In the U.S., HomeServe USA provided more than $192 million in services to its customers, representing 890,000 service jobs across its product lines, over the last three years.

• HomeServe USA holds a 98-percent customer satisfaction rating with customers surveyed after receiving a repair.

• Many major utilities and municipalities now offer water line and sewer line repair services to their customers, for an additional charge, either directly or in conjunction with companies like HomeServe USA or its competitors.

• Our client currently has 50 utility partners in the United States, and those utilities have very substantial operations, covering more than 29 million households. You can be sure that these major utilities would not be moving into this new area of business if there were no need to do so or no demand for this service.

• HomeServe USA is the exclusive provider of emergency repair service plans to AARP's 22 million homeowner members.

• HomeServe USA has partnered with Rudy Giuliani, former mayor of New York City, to enhance awareness of the need for water and sewer infrastructure investment and consumer protection nationwide.

• HomeServe USA plans are underwritten by Wesco and Technology Insurance Companies, AmTrust Group Insurance Companies, rated A (Excellent) by A.M. Best.

This reputable business does not deserve to have its reputation tarnished and business damaged by the misleading headline in The Commons.

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