The termite bond
The termite bond, in plain words
A bond is a yearly service contract. It is not insurance, and it is worth exactly what its terms say.
What a bond is
You pay each year. The firm inspects the house each year and writes it down. If termites come back in the area it treated, the contract says what the firm does about it. Some contracts also say what new damage the firm will repair, and up to what limit.
Firms call these different things: a bond, a service agreement, a warranty, a protection plan. The name tells you little. The terms, limits and exclusions in the contract tell you everything.
What a bond is not
It isn't homeowner's insurance, and it doesn't make the house termite-proof. It doesn't usually cover damage that was there before it began, or damage caused by moisture problems the house still has.
Side by side
Inspection only, retreatment, or repair
Most contracts in this area are one of these three, or a mix. Ask for the contract itself, not the brochure.
| What you want to know | Retreatment bond | Repair bond | Inspection only |
|---|---|---|---|
| What it is | Retreatment bondA yearly contract: inspection, and treatment again if termites return. | Repair bondA yearly contract: treatment again if termites return, and repair of new damage up to a stated limit. | Inspection onlyA yearly inspection and a written report. |
| If termites return | Retreatment bondThe firm treats the affected area again, as the contract says. | Repair bondThe firm treats again, as the contract says. | Inspection onlyYou get a report and a written plan for the work. |
| If they damage the wood | Retreatment bondRepairs are your cost. | Repair bondNew damage is covered up to the limit in the contract, with exclusions. | Inspection onlyRepairs are your cost. |
| What can void it | Retreatment bondA missed renewal, or changes to the soil or the house the firm was not told about. | Repair bondThe same, and any damage that was there before the contract began. | Inspection onlyNothing. It is a service, not a promise. |
| How often it is inspected | Retreatment bondEach year, on the renewal. | Repair bondEach year, on the renewal. | Inspection onlyEach time you book it. |
| What you pay | Retreatment bondA yearly renewal, stated on the notice before it is charged. | Repair bondA yearly renewal, usually higher than a retreatment bond. | Inspection onlyFor each inspection. |
| If you sell the house | Retreatment bondSometimes passes to the buyer by a transfer the contract describes. | Repair bondSometimes passes to the buyer; the contract says how. | Inspection onlyNothing to transfer. |
| If you cancel | Retreatment bondThe contract says whether any part of the year is returned. | Repair bondThe contract says whether any part of the year is returned. | Inspection onlyNothing to cancel. |
Before you sign
Questions to ask about any termite contract
Ask them of us, and of anyone else.
What exactly does it do if termites return?
Retreat the area, repair the damage, or both. Find the sentence that says so.
What does it leave out?
Look for exclusions: damage that was there before, moisture, additions, outbuildings, fences.
What do I have to do to keep it in force?
Many contracts want the renewal paid on time and the soil and wood kept clear.
How is the renewal set?
Ask whether the price can change, how much notice you get and who sets it.
Who inspects, and how often?
A named inspector and a date are better than a promise of a visit.
What happens if I sell?
Ask whether the contract transfers, what the buyer has to do and what it costs.
Who does the repair?
Ask whether the firm repairs the wood, pays a contractor, or pays you, and up to what limit.
Can I read it before I pay?
You should be able to read the contract in full, on paper or on screen, before you sign.
How ours reads
Our contract, at a glance
Sample terms. The owner replaces each with what the firm's contract says.
Inspected
Once each year, by a named inspector, with a written report and a sketch.
If termites return
We treat the affected area again at no added charge, as the contract states.
New damage
Repair is covered only under the repair bond, up to the limit in the contract.
Renewal
Each year. The notice states the price before it is charged.
What it excludes
Damage that was there before the contract began, and conditions the house still has, such as an unrepaired leak.
If you sell
The contract can be transferred to a buyer. The contract says how.
Sample content.
Want to read ours first?
Ask for the contract with your inspection report. We will go through it line by line, and you can take it home.