Professional Warranty Service Corporation

Home Builder Challenges

Many home builders report facing similar challenges:

Shrinking availability of general liability coverage often coupled with:
1. Inadequate limits
2. Exclusions that severely restrict coverage
3. Cumbersome systems to track subcontractor insurance that may have limited value
A home builder’s most valuable asset is its current customer base whose positive referrals can represent 30-50 % of that builder’s future sales. Builders want warranty issues resolved fairly and in a timely manner for the benefit of their customers and themselves.
Home buyers and builders need a warranty document that is both easy to understand and administer. Uncertainty and confusion as to the scope of the builder’s warranty and the standards against which warranty service will be judged impedes the resolution of warranty issues.
Service that involves impersonal communication systems (voice recordings) can lead to frustration, confusion, and dissatisfaction on the part of the home buyers and home builders.
Home builders want insurance from stable companies with strong financial and industry ratings.
Builders want to avoid a continual change of insurance companies at renewal, which can add to uncertainty and confusion for both the builder and the insurance broker.