I think you had 2 problems. The Transfer AND the Microwave. The Transfer switch(even defective) would NOT cause the Microwave to come on and cause arc'ing and smoking wires. REPLACE the Microwave if you have not done so already. Why is your Insurance balking? Carriage is out of business and that is why you probably did not receive the recall notice. The recall is subject to infighting. Iota claims the reason is because the OEM's did NOT correctly torque the screws for the 120 wire connections and because they were not tight to specs could work loose and that is why Iota states they are not responsible for a recall. Some OEM's that used Iota made the decision to send out a recall and replace the Transfer boxes on their dime. Some Oem's did not do that. Doug