In opposition to the popular belief; termites do live in southern Utah. In fact, termite inspections, treatments, and warranties make up between one-tenth to one-fifth of the total revenue generated by Southwest Exterminators in any given year. So, should you invest in the Southwest Exterminators Termite Warranty Protection Plan? Considering termites only measure a few millimeters in length, they are one of the most costly pests in North America. Termites on average cost Americans $5 billion annually. When your colony numbers anywhere between 2,500 and 2 million; it is no wonder a small insect can be so destructive.
Do New Construction Home Warranties Cover Termites?
The first response I get when advising homeowners on the merits of termite warranties is; “what about my new home warranty?”
Typically, home warranties on newly built homes do not include termite protection. In fact, I have yet to see a single Home Warranty program in Utah that includes termite protection once the home is built and transitioned into the new owners' name.
If you do have a new home warranty then you will want to ask your home warranty provider specifically, do they cover termite infestations. Furthermore, you will want to know if they cover termite inspections for possible infestations. Moreover, you will want to know whether the warranty covers damage caused by termite infestations to your new home. And finally, how long does the protection last, one year, five years, ten years?
As I said earlier, I have yet to find a single provider in Utah who will offer termite protection after the ownership has transitioned names.
Do Aftermarket Home Warranties Cover Termites?
A variety of companies sell aftermarket home warranty services. At least three currently have offices in St. George. In general, however, these companies only cover two major homeowner categories; appliances and systems.
Appliances typically include washing machines, dryers, stoves, refrigerators, and occasionally deep freezers.
Systems typically cover the home's HVAC (heating, ventilation, air conditioning), plumbing, and electrical systems.
The value of these aftermarket warranties is dependent upon your needs and the age of your home, it really depends on your situation. If nothing else, read the fine print and ask lots of questions before you sign anything. Further, read their online reviews and make sure they have the faith of southern Utah locals. Finally, whether you decide to sign up for an aftermarket home warranty, ask if they include termites, they most likely will not.
Will Homeowners Insurance Cover Termite Damage?
The short answer, no. In a few more words, it is exceptionally rare to find a homeowners policy that covers property damage resulting from termites. Allstate Insurance has gone on record to say those homeowner policies “provide coverage for perils that are sudden and accidental…” Insurance companies argue that termite infestations are not sudden, nor are they accidental.
What are Termite Warranties?
A termite warranty is similar to the maintenance agreement when a new HVAC system is installed. The termite treatment/inspection company performs a service, either a treatment or an inspection, and offers a warranty package against future termite infestations in your home or building.
Who Needs a Termite Warranty?
Termite warranties are popular with three types of people
- People who have had a termite infestation and never want to deal with that again.
- People who are looking to sell their homes and want a higher purchase price.
- People who want to purchase a home and do not want to purchase a hidden expense.
If you have ever dealt with termites before, you know how frustrating it can be, also how expensive it can become. Termite services can range between $850 - $3,000+ here in southern Utah. That’s why many clients of Southwest Exterminators, upon buying a home, request the Termite Warranty Protection plan.
For those selling their home, a termite warranty may be required by prospective buyers. It may also be requested after a home inspection. The great news, our termite warranty is transferable to new homeowners, making it a great offer to your prospective home buyer.
Are Termite Warranties Worth the Money?
Termite warranties are like many warranties, they don’t seem worth it until you need them. Then they are a blessing.
If you are conscientious about saving money and keep at least $3,000 in an emergency fund (the average cost of termite treatments and repairs) for home maintenance, you most likely do not need a termite warranty. But, if a large, unexpected treatment and repair invoice is beyond your means, then the relatively low cost of the Southwest Exterminators Termite Warranty Protection plan, plus the peace of mind it brings, are going to be worth it.
If you would like to learn more or have specific questions about your current situation, contact us anytime.
