The home warranty people have
agreed to replace the furnace which I am very pleased about. However
they have come up with a laundry list of things which "aren't covered"
according to them regarding the installation, such as wiring the furnace
and connecting it to the duct work. These items are listed in the
contract as being covered, but they are claiming that any wiring is a
"modification" and an upgrade.
They eventually presented the option of either replacing with a basic
furnace or a cash credit to have it done ourselves. Ok, so far so
good!!!
The cash option is great,
although it is also based on a minimum installation, $1000 total.


Meanwhile I don't want to operate a furnace with a bad heat exchanger,
so I want to get this replaced ASAP and they seem interested in dragging
everything out as long as possible.

Been there, done that. I wouldn't trust *anything* they say. If you have a
modest priced lawyer you might have him read the contract and see what is
and is not covered, from a legal standpoint. When I moved into an older
house, I paid something like a 200 buck premium for home warrantee service
insurance. In the end, I got about $600 dollars worth of plumbing and valve
replacement in return, but not without a lot of sturm und drang. But
overall, it was worth buying given the end result, even though I had to
supervise the work very closely, as the tradesmen on their list were
relatively clueless, read cheap. $1000 may sound attractive to you, but the
actual repair could cost thousands if current code disallows your current
wiring scheme, and the replacement is more complicated than the insurance
inspector claims. . In our county, furnace replacement needs a zoning
clearance, and that is where and when they enforce any wiring codes that are
not grandfathered.
Job One is to get opinion of exactly what the contract provides, then make
your stand.....
And make sure you are hovering over the guy if you decide to use their
furnace guy, and take special note of his comments on the job site, as they
may serve you well, down the road.......