American Residential Warranty Did no honor the warranty Boca Raton Florida

I took the Home warranty with the company in June 2014.  The Customer agreement # is 11810854.  I was on vacation from 7/17/2014 through 7/29/2014.  I went in the basement of my house and spotted a minor keak in the sewer pipe of the kitchen leading to the main sewer line on 7/29 or 7/30/ 2014.  i contacted the company and and they gave me a telephone number to call.  I called the telephone number 718-680-6200.  The name of the outfit is twenty four seven.  Some one from the twenty four seven came on 8/1/2014.  I gave them a check for $55.00.  The person from twenty four seven took some photographs of the pipe.  I got a call from American Residential that it was a preexisting condition.  I explained to them if it was preexisting then my basement could have flooded. 

After couple of E-Mails the company said to me that it was a rust and it is not covered under the warranty.  It is amazing and a news to me that cast iron sewer pipe gets rusted. The company is a complete fraud and has no business ethics.  I was forced to cancel the policy around 8/4/2014.  According to my understanding twenty four seven also had some talk with company but it was of no use.  I want to let people know tha the company is a complete fraud and what ever they say on telephone when you buy the policy is not true.  I do not know how these kind of companies conduct their business.