What is an Incidental Cost?
Occasionally new home owners face incidental costs as a result of authorized repairs to one or more warranted items in their new home or condominium. This page provides information on your rights and coverage of these costs.
An example of an incidental cost is: a homeowner needs to hire a professional to move a piano or dishwasher so that warranted repairs to the floor can be completed. In such cases, Tarion may consider providing additional compensation for the incidental costs associated with moving and/or replacing items during the course of a warranted repair being done by or on behalf of Tarion.
Ontario's new home warranty does not require payment of incidental costs. This Allowance is a customer service gesture by Tarion. It helps contribute towards a homeowner's expenses, but is not meant to provide full compensation for any and all incidental costs incurred.
Incidental Costs covered by Tarion
Tarion will consider paying incidental costs that meet all of the following conditions:
- The homeowner has provided true copies of receipts or quotes; and
- The cost cannot be recovered from another source, such as home insurance.
- The cost is necessary and is a direct result of remedial warranty work done by or on behalf of Tarion
Maximum reimbursement amount
The maximum aggregate amount that Tarion will pay for incidental costs is $1000 per home.
How to get reimbursed
When you are likely to incur incidental costs as a result of an authorized and warranted repair, you should inform the Warranty Services Representative at Tarion handling your file.
Tarion will look into the matter and then determine whether Tarion will reimburse you for those costs, up to a maximum of $1,000. Tarion will inform you of its decision in writing.
If Tarion agrees to pay for an incidental cost, you will be offered a cash settlement. If you agree to the cash settlement, those funds will be sent to you.
For more information about reimbursement of incidental costs, contact 1-877-982-7466.
Reimbursement for Expert Reports
In some cases, a homeowner may decide to have an expert (for example, an engineer) produce a report in support of their warranty claim. If this report is submitted and Tarion relies upon it to conclude that an issue is warranted, the homeowner can submit the paid invoice from this consultant for reimbursement.