Manufactured Homes: Third Party Warranties
Virtually all of us are familiar with most common insurance coverages.
What most of us have never heard of are specialty products which are unique to the building industry, which includes manufactured housing. One of these is the Third Party Warranty which is supplied to the builder by either national companies or regional warranty companies.
I must confess, after many years as a dealer in the mobile home business, that until attending the M.H.I. Manufactured Housing Congress in Las Vegas, was not aware of exactly the why or what a Third Party Warranty was all about. I’m not sure I completely understand now, even after talking to representatives of two different companies offering these warranties. I did determine that a Third Party Warranty is a good thing for buyers of new manufactured homes.
The Third Party Warranty provides protections to builders and manufacturers, but also contains protections for the home buyer because they specifically cover voids in both the builder/manufacturer’s and buyers’ umbrella of protection.
Third Party Warranties insure the builder/manufacturer warranty providing a neutral third party dispute resolution mechanism.
What is equally unique to Third Party Warranties is that they can only be purchased by the builder. Therefore, the only way that a new manufactured home buyer can receive this protection is if they buy a new manufactured home from a manufacturer/dealer who participates in a Third Party Warranty Program such as Residential Warranty Company, LLC (RWC) and MHWC. The cost of this coverage is included in the purchase price of the manufactured homes as are any other forms of protection the manufacture buys.
Tiffany McCall, National Account Manager, for MHWC told me emphatically, “the customer can not pay for this.”I also visited with Dave Johnson, Regional Vice president of 2-10 HOME BUYERS WARRANTY, best known 3rd party warranty company in the nation. 2-10 Home Buyers Warranty allows manufacturer to offer the warranty agreement protection to the manufactured home buyer.
I also visited with Dave Johnson, Regional Vice president of 2-10 HOME BUYERS WARRANTY, best known 3rd party warranty company in the nation.
2-10 Home Buyers Warranty allows manufacturer to offer the warranty agreement protection to the manufactured home buyer.
How it works:
Structural warranties follow a 1, 2,10-year model and include:
_One-year surety coverage-protection against defects in materials and workmanship beginning on closing date.
_Two-year surety coverage-protection against defects in electrical, plumbing and mechanical distribution systems beginning on closing day.
_Ten year structural warranty-comprehensive coverage against major structural defects beginning on closing day.
Beyond the basic coverage, Dave Johnson also pointed out “our 2-10 warranty is unique, in that coverage not only covers the manufactured home itself, but also includes the foundation that the home is a placed upon”. he also stated “the comprehensive coverage includes coverage for soil movement and qualified structural defects starting from day one.”
2-10 Home Buyers Warranty is well respected in the manufactured housing industry and has a Better Business ratings of “A,” and receives favorable recommendations from industry associations.
2-10 Home Buyers Warranty Company also offers extended warranty programs for all types of housing. For more detailed information visit their web-site at www 2-10.com