What is a 10 Year Builder Warranty?
A 10 Year builder warranty is a structural warranty that provides a written agreement between the home builder and the homeowner and clearly defines the builder's work-product obligations related to construction quality and continuing obligations. Under the agreement, the builder is the insured and the homeowner is the beneficiary.
Why an insurance-backed 10 Year builder warranty?
An insurance-backed, 10 Year builder warranty, from 2-10 Home Buyers Warranty, gives builders and homeowner's confidence that if qualified major structural damages develop in a home, those repairs will be the obligation of the warranty insurer rather than the responsibility of the builder and homeowners. The 2-10 HBW warranty uses an insurance company dedicated to the payment of warranty claims.
Why do I need a 10 Year builder warranty?
Even builders with an excellent history of no structural‐defect claims can find themselves dealing with structural warranty issues years after closing.Read More [+]
Implied warranty laws are subject to vague and unpredictable interpretations that can vary from one court decision to another. Using an express limited warranty such as a new construction home warranty that disclaims all implied warranties and eliminates this uncertainty, and helps set a buyer's expectations.
What does an insurance-backed 10 Year builder warranty include?
- Insurance-backed coverage starting Day 1
- 10 years of coverage for qualifying structural defects to load-bearing components
Typical load-bearing elements covered by a 10 Year builder warrantyRead More [+]
- Footings and foundation systems
- Load-bearing walls and partitions
- Roof framing systems
- Masonry arches
How is a 2-10 builder warranty different than a 10 Year builder warranty?
Along with 10 years of coverage for qualifying structural defects to load‐bearing components the 2-10 builder warranty provides additional workmanship and systems surety coverage for the builder.
- 1 year of surety coverage against defects in workmanship and materials
- 2 years of surety coverage for defects in wiring, piping and ductwork in electrical, plumbing, heating, cooling, ventilating and mechanical systems
Why 2-10 Home Buyers Warranty?
- We've paid more claims than any other provider
- No soil exclusions
- Almost 1 million warranties in force
- 1 out of 7 New homes has a 2-10 HBW 10 Year Structural Warranty
- Decades of building industry experience
- Our warranty language is concise, and clearly defines structural defects with no hidden limitations
- A local and national support team
- 2-10 HBW is affiliated with the second-largest reinsurance company in the world
How much does a 10 Year builder warranty cost?
On average the cost of a 10 Year warranty is less than a half percent of the total purchase price of the home including the land. The cost varies from state to state due to the risks of local soil conditions.Read More [+]
Overall the price is quite small compared to the home's value and what average structural repairs would cost.
A builder's out of pocket costs for structural repairs can average from $42,500 in low-risk states to $133,000 in high-risk states.