Warranty programs are commonly developed as one of two different types of coverage: surety or direct. Below is a definition of Surety Coverage.
Surety Coverage
- The warranty holder calls you (the builder or contractor) first if a covered warranty issue occurs.
- As the builder or contractor, you are the first responsible party for correcting covered defects and/or deficiencies.
- Surety coverage (via the warranty administrator) goes into effect if you are unwilling or unable to meet warranty obligations.