Cease-and-desist order issued against Capital HomeShield

Washington State Insurance Commissoiner Mike Kreidler has issued a cease-and-desist order against a Florida-based home warranty company doing business as Capital Home Shield.

The North Miami Beach company -- which was not registered as a service contract provider or insurer in Washington state -- nonetheless sold a contract to a Washington homeowner. He complained to us after he had difficulty getting them to pay for a repair to his stove. The company subsequently paid the claim.

Under the contract, Capital Home Shield, which is a doing-business-as name of MN Home Warranty Corp., promised to pay to repair or replace major systems and appliances that broke.

Kreidler ordered the company to to stop selling unauthorized contracts in Washington and to turn over a list of all its Washington clients, as well as reporting all premiums they've paid so far.

According to the local Better Business Bureau, the company has an "F" rating for repeatedly failing to respond to complaints.

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