Common use of BASIS FOR COVERAGE Clause in Contracts

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on your Agreement Coverage Summary if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractor’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Mechanical failure” occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective date. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical failure due to rust and corrosion in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwelling. The covered item will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s diagnosis.

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on your Agreement Coverage Summary agreement if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, . All repairs/replacements are subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractorqualified service provider’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary agreement as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single-family dwelling. “Mechanical failure” occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective datetest. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical failure due to rust and corrosion in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwelling. The covered item will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement the agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s qualified service providers diagnosis.

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on in your Agreement Coverage Summary if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractor’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Mechanical failure” occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective datetest. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problemproblem . In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical . Mechanical failure due to rust and corrosion is covered after the Agreement effective date in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwellingWarranty. The covered item will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s diagnosis.

BASIS FOR COVERAGE. A We agree to pay the covered costs to repair or replace the items Items listed as covered on your Agreement Coverage Summary (“Covered Items”) if any such items Covered Items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited toconsidering, without limitation our independent service contractor’s diagnosis. We reserve the right, at our option, to replace items Covered Items rather than repair them. The definitions of the specific items Items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. M This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items Covered Items that were in the home and in proper operating condition on the Agreement effective date. “Domestic-grade” items are those that were designed and/or designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwelling. “Mechanical failure” occurs when a covered item Covered Item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warrantyif it is due to lack of routine care and maintenance or misuse. We will cover an unknown a pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in prior to the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on effective date of the agreement effective dateAgreement. A visual inspection of the covered item Covered Items is considered to mean the viewing of an item Item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item Item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure of kitchen/laundry appliances, air conditioning system and heating system due to rust and corrosion is not covered in the Seller Home Warrantycovered, mechanical unless such failure due to rust and corrosion in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered occurs after the agreement Agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwelling. The covered item Covered Items will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited toconsidering, without limitation, our independent service contractor’s diagnosis.

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on in your Agreement Coverage Summary if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractor’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Mechanical failure” occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective date. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical . Mechanical failure due to rust and corrosion is covered after the Agreement effective date in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwellingWarranty. The covered item will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s diagnosis.

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on in your Agreement Coverage Summary if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractor’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Mechanical failure” occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective datetest. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical . Mechanical failure due to rust and corrosion is covered after the Agreement effective date in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwellingWarranty. The covered item will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s diagnosis.

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on in your Agreement Coverage Summary if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractor’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Mechanical failure” \"Mechanical failure\" occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective datetest. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical . Mechanical failure due to rust and corrosion is covered after the Agreement effective date in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwellingWarranty. The covered item will be deemed to have been in “proper \"proper operating condition” condition\" on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s diagnosis.

BASIS FOR COVERAGE. We agree to pay the covered costs to repair or replace the items listed as covered on your Agreement Coverage Summary if any such items become inoperable during the term of this Agreement due to mechanical failure caused by routine wear and tear, subject to the terms and conditions of this Agreement. Determination of coverage for any claim will be made solely by us, considering but not limited to, our independent contractor’s diagnosis. We reserve the right, at our option, to replace items rather than repair them. The definitions of the specific items that may be listed on your Agreement Coverage Summary as covered, as well as other limitations on coverage and other terms and conditions, are listed below. This Agreement covers only mechanical failures relating to the mechanical parts and components of those domestic-grade items that were in the home and in proper operating condition on the Agreement effective date. “Mechanical failure” occurs when a covered item becomes inoperable and unable to perform its designed function, subject to the limitations and conditions set forth herein. Mechanical failure due to an unknown pre-existing condition is not covered in the Seller Home Warranty. We will cover an unknown pre-existing mechanical failure provided the failure could not have been detected by visual inspection or simple mechanical test in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty on the agreement effective date. A visual inspection of the covered item is considered to mean the viewing of an item to verify that it appears structurally intact and without damage or missing parts that would indicate inoperability. A simple mechanical test means the ability to turn the unit off and on verifying the item operates without irregular sounds or smoke that may indicate a problem. In certain instances, we may require documentation from you during a claim review. Mechanical failure due to rust and corrosion is not covered in the Seller Home Warranty, mechanical failure due to rust and corrosion in the Buyer Conversion, Buyer Direct, Open Direct or New Home Warranty is covered after the agreement effective date. “Domestic-grade” items are those that were designated by the manufacturer, manufactured and marketed solely for installation and use in a residential single family dwelling. The covered c overed item will be deemed to have been in “proper operating condition” on the Agreement effective date if it was correctly located within the home, was properly installed to code at the time of installation, was fully connected, was capable of successfully performing all operations commensurate with the manufacturer’s original design intention, and did not pose any hazard to life or property. Determination of the operating condition as of Agreement effective date, and the nature of any failure, will be made by us based upon the professional opinion of our direct employees, considering but not limited to, our independent contractor’s diagnosis.