Terms & Conditions

I. YOUR COVERAGE

1. During the coverage period, Affordable Home Protection Services, Inc. (“AHPS”) will arrange for a Service Contractor to repair or replace the systems covered in accordance with this contract if they (a) are located within the perimeter of the home (except for pool, spa, HVAC, septic and well pumps), (b) become inoperative due to normal wear and tear, (c) are in good working order on the effective date of this contract and (d) are properly installed and available for diagnosis. This contract only covers single-family residential property including condos and mobile homes, less than 5,000 sq.ft. If the property is over 5,000 sq.ft., please purchase additional square footage coverage. If this contract is for duplex, triplex, or fourplex dwelling, then every unit within such dwelling must be covered by this contract for protection to apply to common systems. If this contract is for a dwelling within a multiple unit of 5 dwelling units or more, then only items contained within the confines of each individual unit are covered, and common systems and appliances are excluded. Coverage includes only the items stated as covered and is subject to limitations. AHPS reserves the right to inspect covered items and to ask for an inspection report.

2. Buyer’s coverage begins at close of sale and continues for 13 months after close of sale. New Construction coverage begins on the 1st day of the 2nd year after the close of sale of a newly constructed house and continues for 4 years. Seller’s coverage for the listing period starts upon issuance of a contract number by AHPS, and continues for either 180 days, close of sale or termination of listing (whichever comes first) and does not cover “For sale by owner” listings. Current Homeowner and Renewal coverage begins upon issuance of a contract number and continues for a monthly, semi-annual or annual term, whichever is selected.

3. Pre-existing conditions are not covered by this contract. However, for Buyer’s and Seller’s coverage only and for systems that become inoperative due to normal wear and tear, there is no denial of coverage (“No Fault” coverage) for: (a) malfunctions that existed on the effective date of the contract if, at that time, the malfunction was unknown and would not have been detectable by visual inspection or a simple mechanical test, (b) malfunctions caused by a lack of maintenance, (c) malfunctions caused by improperly installed equipment and (d) malfunctions caused by mismatched system sizes. Undersized or poorly designed systems relative to the square footage are not covered by the “No Fault” coverage.

II. YOUR SERVICE
CALL: 877-581-4049 OR 512-263-3764 OR
GO TO:WWW.AHPSHOMEWARRANTY.COM

1. You must notify AHPS for work to be performed under this contract as soon as the problem is discovered and prior to the expiration of this contract. Under normal circumstances, AHPS will initiate the services contracted for within 48 hours after your request. AHPS, at its sole discretion, will select an affiliated or unaffiliated Service Contractor and will not reimburse for services performed without prior approval. No actions by AHPS or Service Contract shall constitute any partnership or agency relationship between them. Evidence of recent attempted repairs by others voids coverage of the claim. AHPS will determine what repairs constitute an emergency and will make reasonable efforts to expedite service. Should AHPS grant you authorization to contact an independent Service Contractor, AHPS will provide reimbursement based on the following conditions: (i) selected Service Contractor is qualified and insured, (ii) you agree to be reimbursed at AHPS’s typical rates for parts and labor (less than retail) and (iii) you call AHPS prior to Service Contractor performing any repairs to determine if the repair is a covered item under this contract. For service outside of normal business hours, you are responsible for payment of additional fees, including overtime. Service work is guaranteed for 30 days.

2. Each call is subject to a $60 fee. The trade call fee for Seller’s contracts is $75. The trade call fee for a termite inspection is $75, for a termite treatment is $125 (after inspection), and for a septic system pumping or pump is $100. Failure to pay the trade call fee at the time of the visit will result in suspension of coverage until the proper fee is paid without extension of the contract period. In the event typical gasoline prices in the service area exceed $3.50 per gallon, AHPS may temporarily increase trade call fees by $10 until prices fall below $3.50 per gallon. Additional charges may apply to certain repairs and replacements (See Section V). If more than one service contractor is necessary to repair/replace any covered item, then a separate service fee will be paid by Contract Holder to each service provider.

III. YOUR COVERED SYSTEMS & APPLIANCES The following items are covered under this contract (See Section V).

1. CENTRAL AIR CONDITIONING, HEATING & DUCTWORK
TUNE-UP: Seasonal tune-up visit performed on up to 2 systems (excludes evaporator coil cleaning unless coil cleaning option was paid on each unit)
COVERED: Components and parts that affect operation on up to 2 systems for gas or electric heater, heat pump, electric central air conditioning condenser, evaporator coil, air handler, evaporative cooler (pump, casing, motor, belts, pulleys and float-assembly only), up to 5 tons in capacity, leaks in accessible refrigerant lines and ductwork from the cooling unit to the connection at register or grill. If necessary to effect a covered repair or replacement, we will upgrade covered equipment as required by federal 13 SEER and 410a equipment regulatory standards.
NOT COVERED: Gas A/C systems – Condenser casings – Registers, zone/damper systems, grills or filters – Electronic air cleaners – Window units – Non-ducted wall units – Freon recapture/pump down – Water towers – Humidifiers – Roof jacks or stands – Flues – Vents – Chillers – Noises – Systems that are connected to another system– Systems with three phase power, two stage blowers, 90%efficiency and higher furnaces or 15 SEER and higher A/C equipment (all replaced with builder’s grade) – Baseboard casings – Fuel storage tanks – Portable units – Solar systems – Oil heating units – Chimneys, fireplaces and key valves – Clocks – Timers – Heat lamps – Hot water/steam heat circulating systems – Geothermal and/or water source heat pumps – Collapsed ductwork – Testing or locating leaks in A/C or ductwork – Plenums, transitions, drain pans and cooler pads – Asbestos insulated ductwork – Improperly sized or poorly designed systems –Modifications or improvements required by upgrade 13 SEER or 410a equipment (including re-filling upgrade 410a equipment with 410a refrigerant).

2. PLUMBING SYSTEM, STOPPAGES & WATER HEATER
COVERED: Leaks and breaks of water, drain, gas, waste or vent lines – Toilets – Valves for shower, tub, diverter, angle stops, risers and gate valves – Clearing of stoppages in drain lines with a standard sewer cable from an existing access point without excavation –Water heater (gas or electric).
NOT COVERED: Damage caused by freezing or roots – Fixtures including faucets, bathtub, pop-up assemblies, shower head/arm, sink, toilet lids/seats – Sprinkler or solar systems – Shower enclosures and base pans – Breaks or cracks in toilet bowl or tank – Removal of toilet – Caulking or grouting – Septic tanks –Water softeners, filters or purifiers – Dryer vents – Pressure regulators – Permanently installed sump pumps – Inadequate or excessive water pressure – Flow restrictions in water lines – Sewage ejector pumps – Holding or storage tanks – Saunas or steamrooms – Hose bibs –Whirlpool jets, motor and pump assemblies – Any associated masonry work – Roof access cleanout – Stoppages outside the main foundation of the home or caused by roots, foreign objects or damaged drain, vent or sewer lines – Grinder pumps – Costs to locate, access or install a ground level cleanout – Solar water heaters – Storage tanks – Tankless – Noise – Flues and vents – Water heaters over 50 gallons – Insufficient capacity – Odor – Drip pans.

3. ELECTRICAL SYSTEM
COVERED: Components and parts that affect operation including built-in bath exhaust fans.
NOT COVERED: Fixtures and any components – Doorbells, alarms or intercoms – Central vacuum systems – Attic fans – Inadequate wiring capacity – Breaker panel – D.C. wiring or components – Onsite sewer systemelectrical equipment – Low voltage lighting – Computer, phone, cable, or multimedia wiring – Improper wiring under the foundations, deck or ground.

4. KITCHEN APPLIANCES & GARAGE DOOR OPENER
COVERED: Components and parts that affect operation of: Oven – Range/Cooktop – Dishwasher – Built-in Microwave – Garbage Disposal – Trash Compactor – Garage Door Opener (wiring, motor, switches, received unit and track assembly only).
NOT COVERED: Clocks, lights or light sockets – Meat probe assemblies – Rotisseries – Racks, handles, knobs, rollers, baskets, buckets, shelves or integrated TV/electronics – Sensi-heat burners – Magnetic induction – Interior lining or glass fronts – Equipment outside of the primary kitchen (excludes garage door opener) – Portable or countertop units – Trimkits – Stoppage/damage caused by foreign material – Doors, locks and key assemblies – Garage doors – Touch pads – Safety sensors – Adjustment – Remote transmitters – Hinges and springs.

5. SUBTERRANEAN TERMITE TREATMENT, PEST & RODENT CONTROL
COVERED: Treatment for subterranean termite infestation and treatment inside the perimeter of the home for: Roaches – Spiders – Mice – Crickets – Ground beetles – Clover Mites – Millipedes – Centipedes – Pill bugs – Ants (except for “Crazy,” Fire, Pharaoh and Carpenter ants) – Norway and roof rats – Up to 2 target pests per treatment – Treatment guaranteed for 30 days.
NOT COVERED: Bees – Fungus – Fleas –Wood-boring beetles, opossums, raccoons, squirrels, snakes or rodents – Termite infestation in decks, fencing or outside the main foundation of the home or garage.

6. RE-KEY SERVICE (UP TO 6 KEY HOLES)
COVERED: Re-key up to 6 residential style key holes (including deadbolts) and provide 4 copies of the key.

IV. YOUR OPTIONAL COVERAGE For an additional fee, you may purchase optional coverage up to 45 days after close of sale (See Section V). Optional coverage is not available for Sellers contracts.

1. PREMIUM UPGRADE
COVERED: In the event a covered A/C, heating or plumbing replacement includes costs for disposal of old equipment, permits, code requirements and/or modifications required by installing new equipment,AHPS will pay up to $250 per contract to the authorized Service Contractor. Appliances: Professional series kitchen appliances are covered (includes optional appliance coverage if purchased) – Ceiling fans (with builder’s standard) – Doorbell (not intercoms) – Instant hot water dispenser – Plumbing: Faucets and shower heads (with builder’s standard) – Whirlpool motor and pump assemblies (not access) – Toilets up to $400 replacement value – Central A/C: Freon recapture/pump down – Registers – Grills – Filters – Window Units – Trash compactor: removable buckets – Dishwasher: racks, baskets and rollers – Water heater: Tankless – Oven/Range: racks – Handles – Dials – Garbage Disposal: Damage caused by foreign material – Central Vacuum (not removable hoses, accessories, filters, shutters, belts, fans, blockages).

2. GOLD UPGRADE
Includes: Premium Upgrade – Refrigerator – Washer & Dryer

3. PLATINUM UPGRADE
Includes: Premium Upgrade – Gold Upgrade – Homes up to 8,000 sq.ft. – Concierge Service (dedicated client rep) – Additional A/C unit (3 total) – Detached Building – Stand Alone Icemaker – Built-in Wine Cooler.

4. GREEN UPGRADE
COVERED: AHPS will replace dishwasher, refrigerator or clothes washer with ENERGY STAR qualified product in the event any of these covered items are not able to be repaired. AHPS will replace water heater with “on demand” tankless water heater in the event this covered item is not able to be repaired.

5. POOL AND/OR SPA EQUIPMENT
COVERED: Both pool and spa equipment are covered if they utilize common equipment. If they do not, then the pool is covered, unless an additional fee is paid to cover the spa. Coverage applies to the heating, pumping and filtration systems only.
NOT COVERED: Cleaning equipment (pool sweeps, cleaning/booster pumps, pop-up heads, turbo valves and the like) – Lights – Liners – Concrete-encased or underground electrical, plumbing or gas lines – Structural defects – Solar equipment – Jets – Fuel storage tanks – Covers and disposable filtration mediums (including filter grids) – Fountains – Heat pump – Electrically operated valves – Water chemistry equipment (including, but not limited to, salt water converters and water softeners) – Inaccessible components.

6. APPLIANCES
COVERED: Components and parts that affect operation of: Refrigerator (including icemaker and ice/water dispenser) – Stand Alone Icemaker – Built-in Wine Cooler – Washer & Dryer.
NOT COVERED: Racks – Shelves – Filters – Interior thermal shells/insulation – Noise – Handles – Lights – Food/beverage spoilage – Freezers that are not an integral part of the refrigerator – Equipment located outside of the primary kitchen – Multi-media electronics – Trim kits – Damage caused by mineral deposits –Wine vaults or wine coolers over 200 bottle capacity – If parts are not available for integrated icemaker, coverage is limited to cash value of icemaker only – WASHER: Plastic mini-tubs – Soap dispensers – Filter screens – Knobs and dials. DRYER: Venting – Lint screens – Knobs and dials – Dryer cabinets and components – “all in one” wash/dry units.

7. WELL PUMP
COVERED: Components and parts that affect operation of well pump utilized for main source of drinkable water for dwelling only. One time pumping during the term of this contract if the stoppage is due to septic tank backup.
NOT COVERED: Well casings – Piping or electrical lines leading to or connecting pressure tank and main dwelling – Holding, pressure or storage tanks – Re-drilling of wells – Booster pumps – Well pump and components for Geothermal and/or water source heat pumps – If the well pump failure is caused by deficiencies or defects in the system, then said deficiencies or defects must be repaired by Contract Holder prior to our replacement of the pump – Failure due to lack of capacity – Pressure switches, control boxes, capacitors or relays.

8. SEPTIC SYSTEM PUMPING & PUMP
COVERED: Sewage ejector, jet, or aerobic pump in accordance with onsite sewer system only. One time pumping during the term of this contract if the stoppage is due to septic tank backup.
NOT COVERED: Septic or aerobic tanks – Trash or pump tanks - Broken sewer lines outside the foundation – Stoppages or roots that prevent the effective use of any externally applied sewer machine cable – Sewer hook-ups – Disposal of waste – Chemical treatments – Leach lines, leach beds, cesspool, lateral lines, tile fields – Other mechanical pumps not listed above – Insufficient capacity – Any type of disposal system that re-introduces the water back into the environment.

9. DETACHED BUILDINGS
COVERED: Option to apply Standard coverage beyond the perimeter of the home to the detached garage, garage with apartment or guesthouse. You may need to purchase additional units of appliances or systems, and/or other coverage.

10. FOOD SPOILAGE
In the event of Refrigerator or Freezer failure covered by this contract, AHPS will issue a one-time reimbursement of up to $400.00 to replace food items that become spoiled due to a lack of refrigeration if repairs cannot be completed within 48 hours of the reported claim.

11. HOTEL REIMBURSEMENT
In the event of heating, cooling, or an electrical outage restricted to the dwelling of record occurs, AHPS will reimburse up to $100.00 per night for a maximum of 3 nights if AHPS cannot complete the required repairs within 24 hours from the time service was requested. Upgrade must be purchased when contract is originated for coverage to apply.

12. A/C COIL CLEANING
AHPS will pay up to $400.00 for cleaning coil(s) on A/C systems if option is chosen and paid on each unit. Maximum per year for coil cleaning is $400.00 per unit.

13. LIMITED ROOF LEAK REPAIR
COVERED: The repair of specific leaks that occur in the roof located over the occupied living area of the main dwelling (excluding garage), provided the leaks are the result of rain and/or normal wear and deterioration and the roof was watertight and in good condition on the effective date of the Plan.
NOT COVERED: Gutters, drain lines, flashing, skylights, patio covers, scuppers, glass, sheetmetal, roof mounted installations, leaks that occur in a deck or balcony when said deck or balcony serves as the roof of the structure below, leaks that result from or that are caused by roof mounted installations,
improper construction or repairs, missing or broken roof shingles or tiles, damage caused by persons walking or standing on the roof, failure to perform normal maintenance to roof and gutters, improper installation, leaks manifested prior to the effective date of the Plan.
LIMITS:An actual water leak must occur during the coverage period for coverage to apply under this Plan. If the area of the roof that is leaking has deteriorated to such an extent that the leak cannot be repaired without partial replacement of the roof, the company’s obligation is limited to the cost of repair if such leak had been repairable. In the event the roof has exceeded its life expectancy and must be replaced, the coverage will not apply. Roof repairs will be limited to $1,000 maximum per Plan for diagnosis, labor, parts and/or materials.

14. EXTENDED PIPE LEAK COVERAGE
(Available on detached single family homes only; not available to condos or multi-unit buildings)
COVERED: Concrete encased or underground pipe leaks located outside the foundation of the covered structure, including water, drain or gas supply and drain lines that service the main home or other home warranty covered structure only. The leak must be the result of normal wear and use.
NOT COVERED: Faucets, hose bibs, gate valves, consequential or secondary damage, solar or sprinkler system, above or below ground pool piping, downspout or landscape drain lines, outside/underground piping for water source heat pump.
LIMITS: $1,000 maximum per Plan for diagnosis, repair or replacement.

V. LIMITATIONS OF LIABILITY
This residential service contract is not designed, nor is it intended, to include or overlap any coverage that is included in your homeowner’s insurance policy, home builder’s warranty, and/or any manufacturer’s warranty or maintenance agreements.

1. AHPS is not responsible for restoration of any wall coverings, floor coverings, cabinets, countertops, tiling, paint or the repair of any cosmetic defects. AHPS is not responsible for locating, providing or closing access to covered items unless otherwise noted in the contract. Energy, lighting, pool/spa, sprinkler and appliance management systems (including motherboards) are not covered. You may be charged an additional fee to remove and/or dispose of an old appliance, system or component. For Current Homeowner coverage only, AHPS is not responsible for replacement of covered systems or appliances due to obsolete or unavailable parts. However, AHPS will reimburse you the reasonable estimated cost of the part as determined by the fair value of similar parts.

2. AHPS is not liable for any incidental, indirect, special, consequential or exemplary damages, injuries or losses or for failure to provide timely service. AHPS is not liable for repair of conditions caused by chemical or sedimentary build up, misuse or abuse, failure to clean or maintain (See Section I-3), missing parts, structural changes, fire, freezing, electrical failure or surge, water damage, lightning, mud, earthquake, soil movement, storms, accidents, pet damage, pest damage, acts of God, mold, fungus, hazardous materials, failure due to excessive or inadequate water pressure, part delays, loss of income, utility bills or living expenses.

3. AHPS has the sole right to determine whether a covered item will be repaired or replaced. AHPS reserves the right to offer cash in lieu of repair or replacement in the amount of AHPS’s actual (less than retail) cost to repair or replace such item. AHPS is not responsible for any work performed by a service contractor once cash in lieu of work has been authorized. AHPS is responsible for providing replacement equipment of similar (not exact) features, capacity and efficiency (See Section III-1), but not for matching dimensions, brand, color or original manufacturer’s warranty. Contract Holders with HVAC systems greater than the 13 SEER standard efficiency rating must inform Service Contractor of their system’s efficiency in writing upon initiating service. AHPS is not responsible for upgrades, for the cost of construction or for modifications made necessary by existing equipment or installing new equipment. For major HVAC and Plumbing system replacements, these non-covered upgrade, modification or construction costs can be significant (especially due to the 2010 federal regulatory requirement to eliminate the manufacture of R-22 refrigerant equipment). AHPS is not responsible for repairs related to inadequacy or lack of capacity, improper installation/mismatched equipment (see Section I-3), previous repair or design, components or parts that do not affect the main operation of the unit and any modification to the system or appliance. AHPS reserves the right to obtain a second opinion at its expense.

4. AHPS is not responsible for repair or replacement of commercial quality systems and appliances. However, if Premium Upgrade is purchased, kitchen appliance repairs on Professional series brands are covered (such as Sub Zero,Viking, etc.), although matching brand for replacement is not covered. AHPS is not responsible for repairs arising from manufacturer’s recall of covered items or any items while still under an existing manufacturer’s, distributor’s, or in-home warranty. You are responsible for providing maintenance on covered items as specified by the manufacturer to ensure coverage on such items.

5. To diagnose, repair or replace covered items, AHPS will pay per contract (i) no more than $1,000 for glycol, radiant, steam or gravity flow systems, (ii) no more than $500 for encased plumbing systems (including access), for septic system pumping or pumps, for well pumps, for central vacuums, ductwork, termite treatment, water softener, attic fans, intercom system, or for humidifier/dehumidifier, and (iii) no more than $1,000 for refrigerators, stand alone icemakers, built-in wine coolers, pool/spa systems, tank-less water heaters or range/oven/cook top units. There is a $5,000 limitation of liability per covered item and a $15,000 limitation of liability per contract; however, for Sellers coverage, there is a $500 limitation of liability per contract.

6. AHPS is not responsible for upgrades, work or costs to comply with any federal, state, or local laws, regulations or ordinances or utility regulations or to meet current building or zoning. AHPS is not responsible for service when permits cannot be obtained, nor will it pay for any costs related to permits or to Freon recovery or reclaim. This product does not include coverage or responsibility to remove or dispose of any hazardous or toxic materials, including asbestos and mold.

7. This contract shall be governed by the laws of the State of Texas without reference to the principles of choice of law thereof and the parties consent to the exclusive jurisdiction of the Court of Travis County, Texas. By entering into this contract, the parties voluntarily and knowingly waive their rights to a jury.This contract contains the entire agreement between AHPS and Contract Holder. Should any portion of this contract be held legally invalid or unenforceable, the remainder of this contract shall remain in full force and effect.

8. Because Contract Holder and AHPS agree that when entering this contract it is impossible or impractical to estimate the damages arising from any claim or controversy related to this contract, Contract Holder and AHPS agree that any damages recoverable from AHPS for any reason are limited to a maximum of $5,000 per covered item or $15,000 in the aggregate. Contract Holder and AHPS agree that these are a reasonable forecast of just compensation. Subject to these maximums, Contract Holder’s sole remedy under this Contract is AHPS’s cost of the required repair or replacement, whichever is less.

ARBITRATION AGREEMENT: The Contract Holder and AHPS agree that any controversy or claim relating to this contract shall be submitted to binding arbitration. Judgment upon any award rendered in the arbitration may be entered by any court having jurisdiction thereof. Arbitration will be conducted under the then existing Commercial Arbitration Rules as promulgated by the American Arbitration Association. The parties agree that any arbitration will neither be conducted by nor administered by the American Arbitration Association. Any arbitration under this provision shall occur before a panel of three arbitrators in Travis County, Texas. Each party shall select one arbitrator. The two arbitrators shall then select the third arbitrator. The arbitrators, by majority determination, shall determine the issues subject to the arbitration. The substantive laws of the State of Texas without regard to the principles of choice of law thereof shall apply in any arbitration. The Texas Arbitration Act shall not apply to any arbitration. The non-prevailing party shall pay all costs of the arbitration including the
prevailing party’s reasonable and necessary attorney and arbitration fees.

VI. MISCELLANEOUS
1. If this contract is for duplex, triplex, or fourplex dwelling, then every unit within such dwelling must be covered by this contract for protection to apply to common systems. If this contract is for a dwelling within a multiple unit of 5 dwelling units or more, then only items contained within the confines of each individual unit are covered, and common systems and appliances are excluded.

2. This contract shall be non-cancelable, except AHPS may cancel for the following reasons: (i) non-payment of contract or trade call fees; (ii) fraud or misrepresentation of facts material to the issuance of this contract; (iii) if the Contract Holder is verbally or physically abusive to any AHPS employee or Service Contractor; or (iv) upon mutual agreement by AHPS and the Contract Holder. If this contract is canceled, the client shall be entitled to a pro rata refund of the paid contract fee for the unexpired term, less an admin fee of $50 less any service costs incurred by AHPS. AHPS may renew this contract at its discretion. For Buyer’s contracts, if offered a renewal, Contract Holder will be offered a renewal at the first year Buyer’s rate, but additional renewal rates may be subject to change. If paying with a credit card or ACH bank draft for a monthly or semi-annual payment, Contract Holder agrees to allow AHPS to process continued recurring payments until cancelled in writing by Contract Holder.

3. TRANSFER – This Plan is transferable. There will be a $25.00 transfer fee.

This contract is issued pursuant to a license granted by the Texas Real Estate Commission, and complaints in connection with this contract may be directed to the Commission at P.O. Box 12188,Austin,TX 78711, 512-465-3917. The purchase of a residential service contract is optional and similar coverage may be purchased through other residential service companies or insurance companies authorized to transact business in Texas.

NOTICE: YOU, THE BUYER, HAVE OTHER RIGHTS AND REMEDIES UNDER THE TEXAS DECEPTIVE TRADE PRACTICES-CONSUMER PROTECTION ACT WHICH ARE IN ADDITION
TO ANY REMEDY WHICH MAY BE AVAILABLE UNDER THIS CONTRACT. FOR MORE INFORMATION CONCERNING YOUR RIGHTS, CONTACT THE CONSUMER PROTECTION
DIVISION OF THE ATTORNEY GENERAL’S OFFICE, YOUR LOCAL DISTRICT OR COUNTY ATTORNEY OR THE ATTORNEY OF YOUR CHOICE.