Pest control companies sell either a “Termite Re-treatment” warranty
or a “Termite Re-treatment and Repair” warranty. The “Termite
Re-treatment” warranty promises repeat treatments if termites come
back, but it does not offer compensation for termite damage. A “Termite
Re-treatment and Repair” warranty provides both treatment and some type
of compensation for termite damage. The amount of liability the pest
control company assumes is usually specified in the agreement and
varies from company to company.
Since a warranty is only as good as the company making it, make sure
companies, especially smaller ones, have the proper insurance to back
up the warranty. Some houses are not eligible for a “Termite
Re-treatment and Repair” warranty because of uncorrected problem areas.
In these situations, the problems must be fixed before the house can be
eligible for this kind of warranty.
Termite contracts typically require a large first-year treatment fee
to cover the cost of inspection and initial treatment and a much
smaller annual maintenance fee to cover the ongoing annual inspections
and liability. Because many termite control companies do not warrant
other companies’ work, switching termite companies usually requires
re-treating the house. Since the cost of re-treating is substantial,
the best time to switch termite companies is at the end of term for the
contract, not at an annual renewal.