You've purchased a new home and you want to make sure you protect your investment. Start by getting a copy of your home warranty insurance policy, and reading it.
Home warranty insurance, required by law for all new homes built for sale by a licensed residential builder in B.C., protects your home against construction defects. While it's the homebuilder's responsibility to obtain the insurance, it's important for homeowners to have a copy of the policy so they know what the insurance does and does not cover.
Coverage begins on the date when a new home is either sold or occupied, whichever comes first. For custom-built homes, coverage may begin on the date the occupancy permit is issued and the home is ready for occupancy, if that occurs before the home is occupied.
As soon as possible after coverage begins, warranty providers are required to provide policy information to the homeowner, including:
. expiry dates on different categories of coverage,
. for strata properties, the expiry dates on coverage that applies to the common strata property and to the individual unit, and
. when coverage is conditional on an owner completing proper maintenance, the manufacturer's documentation or warranty information, or a list of recommended maintenance and repair procedures.
Warranty providers are sometimes delayed in providing policy information to new homeowners because they typically rely on builders to inform them when a home is sold or occupied. If you do not receive your warranty insurance documentation within a month of buying or moving into your new home, you should contact your builder or warranty provider.
The provincial Homeowner Protection Office (HPO), a branch of BC Housing, can provide assistance if you are uncertain of any details you need to obtain this documentation. The HPO monitors the performance of the private sector home warranty insurance system to protect buyers of new homes.
If you provide your address, the HPO can inform you - if your home was built by a licensed residential builder; if the new home is covered by home warranty insurance; and the name and contact information of the warranty insurance provider.
Visit www.hpo.bc.ca for HPO contact details, information about home warranty insurance and other helpful information for homebuyers and homeowners.
