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Manufacturer's Warranty Versus Builder's Warranty

Posted on Aug 16, 2016 by Earl Raatz

manufacturers-warranty-versus-builders-warranty-featured-image.pngOne of the greatest benefits of buying a new home is you can enjoy the latest trends along with a comprehensive home warranty for years of worry-free enjoyment of your home.

While you probably know a new home includes a builder's warranty, you may be a bit confused about how it differs from a manufacturer's warranty and what’s included. Here's everything you need to know about the builder's warranty and manufacturers' warranties on your new home.


What is a Builder's Warranty?

While builders have long included warranties on new homes, the New Home Buyer Protection Act requires every new home built in Alberta to be protected by a warranty with specific coverage as of February 2014.

Alberta builders are responsible for partnering with warranty providers, becoming authorized users, and entering new homes into the registry. Warranty coverage must be in place before builders are even granted a new construction permit. All builders must provide homeowners with a third-party warranty for their home.

Your new home warranty from your builder includes the following types of coverage:

  • 1 year for labour and materials. This includes finishes in the home and defects in trim, paint, and flooring.
  • 2 years for distribution systems. This includes defects in materials and labour related to your home's electrical, plumbing, and heating systems.
  • 5 years for the building envelope. The building envelope is the home's exterior shell which includes the walls and roof.
  • 10 years for the structure. This includes the main structural components of your home such as the foundation and frame.

A new home warranty also includes deposit insurance. Homeowners can usually choose to upgrade their warranty for extended coverage.


manufacturers-warranty-versus-builders-warranty-satisfaction-guarantee-image.pngWhat is a Manufacturer's Warranty?

A manufacturer's warranty differs from a home warranty in that it covers specific products in the home through a contract between the manufacturer and the owner. This type of warranty is basically an assurance that the manufacturer will repair or replace the product within a specific period of time if something goes wrong.

Manufacturer warranties vary in terms of what is covered (such as labour and parts or just parts) and the term, but a one-year warranty is usually standard with most home items like appliances.

Manufacturer warranties cover household appliances such as stovetops, ovens, freezers, refrigerators, washing machines, dryers, dishwashers, air conditioners and heating systems, microwaves, and garbage disposals.

If your appliance fails or requires repairs within the warranty period, each manufacturer has its own means of servicing your product.

  • GE: If a GE appliance requires servicing, you can request service through the GE Appliances website to schedule service. GE services appliances purchased within 1 year but extended warranties are also available.
  • Samsung: Samsung refrigerators have a 12-month parts and labour warranty with a 10-year warranty on digital inverter compressors. Samsung washing machines and dryers have a 12-month parts and labour warranty. Ranges have a 12-month parts and labour warranty with a 5-year parts warranty on glass cooktops and a 5-year parts warranty on radiant heater and glass cooktops. Samsung dishwashers have a 12-month parts and labour warranty with a 5-year warranty on printed circuit boards and racking and a lifetime parts warranty on the stainless steel door liner and tub against leakage.
  • Frigidaire: Frigidaire offers helpful owner support for their line of kitchen and laundry appliances. Standard Frigidaire appliances like washers, dryers, and refrigerators have the option of purchasing an extended service agreement that offers protection above and beyond the manufacturer's warranty.
  • LG: LG appliances are covered by a parts and labour manufacturer's warranty. The standard warranty is one year. LG also offers a One Price program with flat-rate prices for parts and labour on out-of-warranty products.
  • KitchenAid: Once you register your KitchenAid appliance online, you'll be able to streamline your warranty service if the need arises.
  • Maytag: All Maytag appliances are protected by a standard 12-month manufacturer's warranty and an impressive ten year limited parts warranty.

What's the Difference Between a Manufacturer and Builder Warranty?

A builder warranty covers defects in the labour and materials of the home itself, from the foundation and walls to the paint, trim, and major systems. Builder warranties do not cover other items like appliances and HVAC systems. This is where manufacturer warranties come in.

The manufacturer -- or the builder of these components -- offers its own warranty to protect homeowners against defects in products like refrigerators, air conditioners, and clothes dryers. There are some exclusions to a manufacturer's warranty, depending on the manufacturer and product.

For example, not all parts or repair problems may be covered, and some warranties may require that you pay for labour. Many warranties only provide coverage if the product was used and maintained as directed. This means that your manufacturer's warranty may not cover your HVAC system if it requires repairs after four years but it was never serviced or maintained.

When you buy a new home in Alberta, you can rest assured knowing your home will be covered by the manufacturer's warranties in addition to your builder's warranty. You will receive manuals and warranties that come with all appliances and other components of your home to cover virtually every aspect of your new home.

Click here to get your building trends & warranty info guide now!


Photo credit: house repair icons, satisfaction seal

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