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City alerts residents to third-party "service line warranty" mailings; enrollment optional
Summary
City staff warned residents about marketing mailings for service line warranty coverage from a National League of Cities partner, provided program enrollment and claims statistics, and reminded homeowners that enrollment is optional and that homeowners insurance may offer similar coverage.
City staff told the council on Oct. 21 that some Rosemount residents have received mailings from a third-party service line warranty company that uses the city logo as part of a nationwide outreach effort through a National League of Cities partner.
Staff said Rosemount enrolled with the program several years ago to allow the vendor to notify residents about outside-service-line coverage (the homeowner's responsibility from the house to the street). Staff provided program statistics supplied by the vendor: 399 policies issued for 200 customers, 27 claims reported, an indicated customer savings of $12,890 and an average customer satisfaction score of 4.8 out of 5. Staff said about 2.5% of Rosemount homeowners are enrolled.
Staff emphasized enrollment is optional; residents can choose not to sign up or may compare the vendor's offering with existing homeowners insurance to determine whether similar coverage is already available. Staff said the vendor can be aggressive in outreach and that the city is aware of the mailings.
The presentation was informational; no city action was proposed that evening. Staff encouraged residents with questions to contact city staff and noted the city will continue to monitor outreach related to service line coverage.
