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In British Columbia, builders must be licensed by the Homeowner Protection Office and arrange for third-party home warranty insurance or obtain an applicable exemption in order to obtain a building permit or commence construction on a new home.
Homebuyers should check to see if their builder is licensed. The Homeowner Protection Office has the only public registry of Licensed Residential Builders which can be searched by licensee name, company name or geographic area.
Minimum coverage and allowable exclusions for third-party home warranty insurance are set by legislation. As a minimum, homes built by Licensed Residential Builders must have the
2-5-10 Year Home Warranty Insurance - the strongest construction defect insurance in Canada. Some new homes have warranty insurance coverage that exceeds the minimum requirement.
Home warranty can only be provided by insurance companies approved by the provincial Financial Institutions Commission to provide home warranty insurance. Ask what type of warranty is included in the new home and get it in writing.
The New Homes Registry can be used to find out if a new home or home under construction is being built by a licensed Residential Builder and has home warranty insurance.