I believe they do that for all "new" customers.
AOL has every right to demand that the contract be honored. Or should I have said AOL has every right to be penny wise and dollar foolish.
A good solution for AOL would have been for those subscribers with insurance to pay the contract price($300). It is in the contract, it is paid by insurance so it doesn't become an additional cost to an already devastated homeowner.
For those without insurance a reduced cost of say $75 (actual cost) will be added to future bills and can be paid over time.
Under the current plan AOL will make a tidy profit because of the floods. It may be legal, but certianly isn't good PR.
"For those without insurance a reduced cost of say $75 (actual cost) will be added to future bills and can be paid over time."
If they did that, I'd like to be the lawyer representing the insurance companies.
Cable TV is a luxury. If people can not afford this luxury and affording means being able to honor your contract and pay for the box if damaged then you really can't afford this luxury.
Why not take the money you would have spent on cable TV and buy some renters insurence?