Just as it had last November, Hot Springs Municipal Utilities is again receiving inquiries about the legitimacy of a mailed solicitation for water service line insurance coverage by an independent company called HomeServe. The company is not endorsed, recommended or sponsored by the City of Hot Springs, and the insurance they offer is not required by law. A recent letter from HomeServe to a local Municipal Utilities customer indicates that HomeServe may be continuing to send letters targeting Hot Springs area seniors, offering insurance to cover the water line from their water meter to their house.
According to a news report issued last November by KHTV-Channel 11 in Little Rock, the area’s Better Business Bureau has received more than 200 complaints during the last year from Garland County to Batesville regarding the company’s offer. Mike Rohrer, BBB Communications Director, contacted the City of Hot Springs about the company’s solicitations, relating concerns regarding potentially deceptive advertising with too many exclusions in fine print. Those contacting the BBB have been advised to check their existing homeowners’ insurance and to inquire about an optional rider.
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