Builder

Builder FAQs


Why should I provide a home warranty?

  • One out of every 200 new homes built today will experience a structural failure requiring repair at an average cost of $30,000.
  • 25% of structural claims are due to framing problems.
  • More than 50% of structural claims are caused by either soil settlement in improperly compacted fills, or by expansive soil.
  • The 2-10 HBW New Construction Warranty allows the builder who satisfies the risk management and enrollment requirements to transfer risk of structural losses to the warranty insurer.

Why should I choose to protect my homes with the 2-10 HBW warranty?

  • Insurance-backed, limited warranty protection from frame to foundation
  • The largest national warranty program providing coverage on homes for structural defects that make the home unsanitary, unsafe or otherwise unlivable
  • Full ten years of qualified structural coverage from the date of closing
  • No mandatory builder deductibles
  • Extended Warranty Protection Plansm available for buyers
  • FHA, VA and RHS accepted
  • Transferable warranty
  • Binding arbitration

Is the warranty transferable?

Yes, the warranty stays with the home and automatically transfers upon change of ownership.

What is a "structural defect"?

A structural defect is defined as actual physical damage to the designated load-bearing elements of the home caused by failure of such load-bearing elements, which affects their load-bearing functions to the extent that the home becomes unsafe, unsanitary or otherwise unlivable.  All four parts of this definition must be satisfied in order for a condition to qualify as a "Structural Defect."  This coverage is exactly the same as that contained in regulations of the Department of Housing and Urban Development.  This is coverage for catastrophic failure of load-bearing elements as defined in the warranty booklet.

What is covered by the 2-10 HBW warranty?

It depends on the particular warranty coverage you choose.*  The 2-10 Warranty covers workmanship and material through year one, major mechanical systems through year two, and qualifying structural defects through year ten.  2-10 HBW's 10-Year Only Warranty covers qualifying structural defects through year ten.  Only 2-10 HBW provides a full menu of warranty coverage and choices.

Who pays for the home warranty?

The total cost of 2-10 HBW warranty coverage is based on a percentage of the home's sale price and is paid for by the builder.