MHWC has administered a ‘few’ new home warranties for homeowners and their builders over the years. In fact, together with our national affiliate, Residential Warranty Company, LLC (RWC), the number of homes warranted by this dynamic warranty group exceeds 3 million. That’s experience! And that expertise is put to use whenever a dispute arises between a homeowner and a builder so that the issues can be resolved efficiently in accordance with the terms of your warranty.
Warranties issued by MHWC and RWC are insured by Western Pacific Mutual Insurance Company, A Risk Retention Group (WPMIC), a company rated “A- (Excellent)” by A.M. Best. WPMIC exclusively insures warranties issued by MHWC and RWC and does not, in fact, write insurance for any other category of risk. With $112 million in surplus equity (as of December 31, 2017), the financial strength of the company is beyond reproach. Moreover, because the insurer is dedicated to new home warranty resolution, you never need to worry about the insurer behind your warranty going out of business because of either natural catastrophic losses (hurricanes, oil spills, etc.) or the man-made variety.
MHWC warranties are issued for specific time periods, usually 10 years. Your home is warranted for the entire warranty term even if you sell it during that time frame. The balance of the warranty simply transfers to the next buyer automatically. That “transferable” feature is an excellent marketing tool that potentially could increase your home’s value or perhaps shorten the listing period. Bottom line is that it may increase the value of your home in the eyes of your prospective buyers.
When your Manufacturer or your Builder/Dealer selects an MHWC 10 year warranty for your new home, you are being given an insured and written commitment that your home will be free from defects as specified in your warranty book. Your MHWC warranty is independently written & administered apart from either your Manufacturer or your Builder/Dealer. Regardless of what the future holds for either of them, your warranty remains viable for the entire warranty term. Structural defects are not easy fixes, with the average cost to repair surpassing $30,000. Your MHWC warranty means that warranted structural defects will be repaired by the Warrantor, not you.
Expert Second Opinion
As a homeowner, sometimes it’s hard to just take the Builder/Dealer or Manufacturer’s “word for it” when an issue arises. You want a neutral party to weigh in and confirm that what you’ve been told is right. MHWC is able to step in as the expert second opinion and base the answer on a set of spelled out written standards. The MHWC warranty book can be a valuable ‘measuring stick’ for evaluating any perceived construction issues. MHWC standards are based on accepted industry guidelines. If you reach an impasse with your Builder/Dealer or Manufacturer, and based on your warranty coverage you believe your issues are warranted, then refer to your warranty book for the steps to request assistance from MHWC.