Who pays when a home warranty plumber causes a leak?

Stop the water first. The stop that broke was the shutoff for that fixture, so go to the main water shutoff for the house and close it. If you aren't sure the main closes fully, our guide on how to shut off water to a fixture and testing your main shutoff valve cover it. Then deal with the water on the floor so the damage doesn't spread. Arizona law says a service contract must set out the holder's duties, "including the duty to protect against any further damage and any requirement to follow the owner's manual." That's another reason to limit the water quickly, because your contract may spell out that duty.

Then document. Take photos and video of the broken valve, the water, the wet areas and any paperwork the technician left. Keep the broken part. Write down the technician's name, the company, the time, and what was said. Get the work order. If you can, ask what happened in writing. That record helps every claim below.

The contract decides. A home warranty in Arizona is a "service contract," and the law requires it to say what's covered and what isn't. A.R.S. 20-1095.06 says: "Service contracts shall specify the merchandise and services to be provided and any limits, exceptions or exclusions. Exclusions from coverage shall be in bold-faced type." So read the contract's exclusions, which must be in bold. Whether damage to walls, floors and belongings after a repair is covered is a question about your contract's wording. Don't assume yes or no until you've read yours.

For what a warranty usually does and doesn't cover, see does a home warranty cover plumbing. A related section, A.R.S. 20-1095.01, also says a provider must give you a sample copy of the contract terms before the sale if you ask. If you don't have your contract, ask the company for a copy in writing.

Report the damage to the warranty company right away, in writing, and say plainly that their technician's work led to the leak. Ask for a claim number and their process for damage caused during a repair.

The Arizona Department of Insurance and Financial Institutions, known as DIFI. The statute says: "A service company may not offer or issue a service contract unless the service company has qualified for and been issued a permit by the director," and "director" means the director of DIFI. Among the listed unfair trade practices is "The failure to perform the services promised under the service contract within a reasonable time and in a competent or workmanlike manner." The director can order a company to cease and desist after notice and a hearing. That is a regulatory remedy. It doesn't by itself pay your repair bill, so ask DIFI how its complaint process works for your situation.

Possibly, and separately from the warranty company. Arizona licenses contractors through the Registrar of Contractors (ROC). The statute says the registrar "shall investigate the acts of a contractor in this state on the written complaint of any owner or contractor that is a party to a construction contract or a person who suffers a material loss or injury as a result of a contractor's failure to perform work in a professional and workmanlike manner or in accordance with any applicable building codes and professional industry standards."

Three conditions matter. The registrar may not issue a citation for workmanship if either "The contractor is not provided an opportunity to inspect the work within fifteen days after receiving a written notice from the registrar" or "The contractor's work has been subject to neglect, modification or abnormal use." And the complaint has a deadline: for most projects it must be filed "within two years after the completion of the specific project." So if you can live with the main shut off for a bit, give the contractor a chance to look before anything is replaced. If you can't, photograph the broken stop from every side, keep the old part, and tell the contractor in writing before the repair. And don't wait to file.

First, check that the plumber holds an active license. Our page on how to verify a plumber's ROC license in Arizona walks through it. A licensed contractor is subject to the registrar's complaint process. For the ROC's separate fund, see the ROC Recovery Fund page. Whether the warranty company, the contractor, or both owe you for the damage is a legal question. A lawyer or the agencies above can tell you more, and this page can't.

Maybe, so contact your insurer quickly. The Insurance Information Institute's list of perils includes: "Accidental discharge or overflow of water or steam from within a plumbing, heating, air conditioning, or automatic fire-protective sprinkler system, or from a household appliance." Whether your policy covers it depends on your policy form, its limits and its exclusions, so read yours or call your agent. Our pages on whether homeowners insurance covers plumbing repairs and how to file a water damage insurance claim explain the process. If your insurer pays, ask the adjuster how that affects any claim against the warranty company or contractor.

For the drying and cleanup side, see what to do first after a major water leak.

1. 1Shut off the main and limit the water.
2. 2Photograph and keep the broken part, and save the work order.
3. 3Report it in writing to the warranty company and ask for their damage process.
4. 4Notify your homeowners insurer and ask about its reporting requirements.
5. 5Check the contractor's ROC license, and give the contractor a chance to inspect before anything is changed.
6. 6Keep every email, receipt and name. Consider a lawyer if the amount is large or the answers are slow.

If you need the valve itself fixed in the meantime, photograph it and keep the old part first. HQ Plumbing & Air offers 24/7 emergency service, is licensed and insured, and gives upfront pricing and free estimates on home plumbing work. Keep your warranty and insurance paperwork handy so the repair record lines up with your claim.