New Home Warranty (NHW) Enrollment Definition and Requirements

New Home Warranty (NHW) Enrollment Definition

A New Home Warranty (NHW) is purchased by or on behalf of a home buyer at the time of closing on a newly constructed single family home. Coverage begins on the 366th day  after the date of closing, and continues for three (3) years from that date, provided required payment has been received within seven (7) business days of the closing, unless otherwise agreed to by us in writing.

 

New Home Warranty (NHW) Enrollment Business Requirements

·       Coverage under the New Home Warranty Plan begins on the 366th day after closing and continues for three (3) years from that date.

·       There was no seller coverage during the listing period, although in may cases, the seller may pay for the NHW coverage as part of the closing transaction..

·       Payment should be received within seven (7) days of closing and no later than thirty (30) days.  Upon funding, a contract is mailed to the buyer stating the terms and conditions of coverage. 

 

New Home Warranty - (NHW) Enrollment Property Eligibility

 

Property

Single Family Residences: The NHW will cover single-family residences.  The term single-family residence includes condominiums, townhouses, etc. 

Multiple Units:  not eligible for NHW coverage.

 

Occupancy

Property for Rent: A tenant occupied property qualifies for NHW coverage. The owner is responsible for reporting claims and paying for the deductible.

 

Coverage Term

Effective Date of Coverage: the New Home Warranty Plan begins on the 366th day of after closing and is effective for three (3) years.

 

New Home Warranty (NHW) - Enrollment System Process

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1. Obtain and write down the property address and conduct a search prior to processing in order to prevent duplicate enrollments.
2. If no records are generated, continue with the enrollment.
3. Obtain the buyer’s name(s), best contact telephone number, alternate telephone number and email address.  (Repeat this step to enter each additional contract holder)
4. Enter the property address.
5. If applicable, retrieve mailing and/or billing address.
6. Obtain agent’s main office telephone number, to retrieve the broker number. (Exception: for Edina, enter the agent’s name)
7. A Cinch member broker number must be utilized.  If the caller is the homeowner (For sale By Owner – FSBO), enter the appropriate AE house account number, Agent Unknown .
• If the agent is not interested in becoming a member, set up as AE House Account, Agent Unknown.  
8. Verify if the property is a single-family home, or multi-dwelling.
9. Obtain the closing date.
10. Select the Plan.
11. Click Save.
12. Offer Buyer options (ex. Pool, Spa, etc.), and additions (ex. A/C, Toilet, etc.), when available per the state matrix.
• Click on the Option tab, to add additional items, such as, refrigerator, water heater, etc. for the buyer.
• Click Save

13. Ask the agent if they prefer the invoice to be emailed or faxed.  (email is the preferred method)

 

To Generate a VSI-Fax invoice to the agent for confirmation:

 

1.     Click on the Visifax  icon

2.     Select the desired Source to send fax

3.     When applicable, click on the Add icon to add a new fax number.  

4.      Click Yes on the pop up that appears 

 

5.     Ask if there are any other parties (i.e. Title Company) that might need a confirmation invoice.

6.     Select the Cover Page and  Optional Page radio buttons and click Send Fax.

 

If a fax number is not available, fax the invoice to the Enrollment Membership Services fax number (1-800-468-7307) and mail the VSI-Fax invoice to the agent.

7.     Advise the agent that the confirmation will be sent shortly.

8.     Provide the following to the caller:

9.     The application number

10.  The price of the warranty

11.  The effective date of coverage (seller warranty is effective the day we receive the application).

12.  Document the transaction at the communication log.

 

To Generate a Confirmation Email Invoice to the agent:

 

1.     From the TIMX Navigation window, click on the Email Confirmation Invoice

 

2.     Enter the Contract Number, Renewal Year and the Purchase Type.

3.     Enter the recipient's name in the Email Recipient field and the email address in the appropriate field.

4.     Click Run Report

 

5.     Document the transaction at the communication log.

 

If an agent is NOT set up in our system as a member, the process below MUST be followed:

 

Search TIMX using all available methods prior to applying the process below.  There can be no exceptions to this rule.

 

1.     Email the respective Account Executive or Affiliate with the callers information.  They will email the necessary documentation to the agent.

·       No documentation can be sent to the agent from this team. It will be managed by the respective Account Executives or Affiliates.

2.     Include the following:

·       Company Name

·       Phone #

·       Caller’s name

·       Address

·       Email address

·       If the agent requests information after the main office account is created, refer them to their Account Executive for the Member Agreement Addendum and Worksheet as needed.

·         

3.     The Mandatory email template to be used to the Account Executive.

Hi,

 

The below agent has requested information to be set up as a member.  Can you please contact them and forward the Member Agreement, Addendum and Worksheet as needed?

 

Please let me know if you need any further information or assistance.

 

Thank you

 

 

Procuring agent – The agent that asked for the warranty is the procuring agent. If the warranty is being ordered at the time of listing, the listing agent is the procuring agent. If the warranty is being ordered at the time of closing, the buyer’s agent is the procuring agent. This is regardless of who is paying for the warranty.

Buyer’s agent calls in to add SHW until closing - The buyer’s agent cannot call in a warranty to include the seller during the listing period (unless they represent the seller in addition to the buyer). Also, the closing has to be more than 30 days away. If it is less than 30 days, it needs to be entered as a BDW only.

 

The agent can enroll, convert and renew on-line.