The Claims Process and 2-10 HBW Teams (09/23)

This document provides a review of the claims process and the 2-10 HBW teams involved.

Audience: 2-10 HBW employees (Internal Use Only)

The following topics are listed below:

1. The Happy Path
2. Multiple Ways for Homeowners to Request Service
3. Specific Steps in the Claims Process
4. Getting to know the Resale Division departments

1. The Happy Path

The Happy Path of a claim reviews what the homeowner experiences when everything goes smoothly with a claim.

1. First, the homeowner purchases the warranty.
   
2. When a failure occurs, they check their warranties for coverage.
   
3. If the failure is covered, they contact us to let us know that they need a contractor.
   
4. We dispatch a contractor to their home to repair the failure.
   
5. They have a happy home and provide us with feedback via a customer survey.

2. Multiple Ways for Homeowners to Request Service

The homeowner may request service in multiple ways.

1. The most preferred method is through the homeowner portal at 2-10.com. This is preferred because the homeowner has no wait on the phone, they are able to provide details, and they are even able to receive claim updates and request changes in service.
2. The second way to place a claim is through the Interactive Voice Response (IVR) system. This is an automated phone system that allows a homeowner to place a claim without speaking to a live agent.
3. The final, and least preferred way, is for the homeowner to speak with a customer service agent in our customer service department. The reason that we encourage homeowners to use the automated options is that they will not have to wait on hold for phone representatives, and they are actually able to provide as much or more detail than we typically capture on a phone call.

3. specific steps in the claims process

We discussed the happy path of a claim, from the customer's perspective. However, many things occur behind the scenes to make the claim go smoothly.

When we have an active claim, and a contractor is dispatched, we need to receive a diagnosis from the contractor. This allows us to determine whether the failure is covered and whether all suggested repairs will be covered.

Once we have the diagnosis, we can authorize the claim so that the contractor can continue with required repairs.

Sometimes, this requires follow-up conversations with the contractor so that we can make proper decisions.

If we need to order equipment to make the repair, the contractor or the Authorizations Representative will submit a Bill Of Materials outlining what we need to order.

Then, either the Authorizations Representative or a Purchasing Representative will place the Purchase Order.

Once the contractor receives authorization to proceed and receives any needed parts and equipment, they can complete the job.

4. Getting to know the Resale Division departments

We have many teams at 2-10 HBW that work together to move the claims through the processes we just discussed.

Customer Service refers to the representatives that take calls directly from our homeowners. They take claims over the phone, dispatch available contractors to service the claims, and assist with claims inquiries.

Claims Management is made up of both inbound and outbound calling teams. They take diagnoses, complete authorizations, place simple purchase orders, and get additional information, as needed, to move claims along.

Procurement (often called "back office purchasing") researches and locates less common parts and equipment needed to complete a repair, and orders the appropriate items.

Customer Experience is available when a claim falls off of the happy path. They handle escalated claims and address escalations from our sales channel and the realtors who encourage customers to purchase our warranties.

Contractor Relations builds and manages our national contractor network. This team ensures that we have contractors available to service our claims and that those contractors perform to our expectations.

Operational accounting processes payments to and from our contractors, suppliers, and sometimes homeowners.

Our sales teams sell new warranties to our consumers.

• The DTC or Direct to Consumer team sells directly to existing homeowners who search online for a home warranty.
• The Resale Integrated Sales team sells our warranties through real estate transactions.
• The Outbound sales team assists existing warranty holders with renewing their warranties before they expire.

Agent Services assists our sales professionals with entering service contracts into the system, correcting any data entry errors, and assisting the field sales team with customer service to realtors.

The Auditing team audits our claims management teams to identify opportunities for performance improvement.

Disclaimer: This information intended to be solely informative in nature, and does not modify, alter, amend or otherwise affect in any way the terms of any Service Agreement or Warranty Coverage. Please refer to the Home Warranty Service Agreement and/or New Home Builder Warranty Booklet applicable to your specific home for all coverage details, procedures, rights and obligations. 2-10 Home Buyers Warranty is a family of companies with a mission to improve the experience of homeownership. As a Provider of Home Warranty Service Contracts, 2-10 Home Buyers Warranty is: 2-10 HBW Warranty of California Inc. in California; Home Buyers Warranty Corporation VI in Florida; 2-10 Home Buyers Warranty of Virginia, Inc. in Virginia; 2-10 Home Buyers Warranty of Oklahoma, Inc. in Oklahoma and Home Buyers Resale Warranty Corporation in all other states (OR Lic # 202003). As the Warranty Administrator for New Home Builder Warranties, 2-10 Home Buyers Warranty is Home Buyers Warranty Corporation III in New Jersey and Home Buyers Warranty Corporation in all other states.