CONTACT: 
Dan Langston (818) 781-2193
Art Ansoorian (818) 881-1183

FOR IMMEDIATE RELEASE

Over 81% Of Home Sales Now Carry Warranty

CALIFORNIANS PURCHASE A RECORD 386,490 HOME WARRANTIES FOR EXISTING HOMES DURING 1999

BURBANK, CA, April 17, 2000 -- Validating the appeal of home warranties during a period of robust home sales, Californians purchased the largest number of home warranty contracts for existing homes in the industry's history, sparking its second highest market share level, according to figures released today for 1999 by the Home Warranty Association of California (HWAC).

HWAC data reveals that 386,490 home warranty contracts were sold during all of 1999, an increase of approximately nine percent over 1998 when 355,364 home warranties were sold.

Based on the total sale of existing homes in California during 1999, as reported by Acxion Corporation's Dataquick Products, home warranties were part of 81.3 percent of all sales. This level of market share is second only to the record 82 percent share in 1995 when only 212,245 home warranties were sold.

"The continuing historically high level of home warranty sales during a period of strong home sales in California underscores the rising sophistication of homebuyers, homesellers, and real estate professionals alike as to the risk protection and value-added benefits of home warranties. This is enhanced by additional coverages offered in warranties in recent years, increased usage, and rising renewals," said Dan Langston, president of HWAC.

Langston also noted that latest association figures show that California homeowners with home warranties saved over $90 million for repairs and replacements as serviced by home warranty companies.

Typically, a home warranty covers a home's major operating systems for one year after the close of escrow. Items covered include plumbing, heating and electrical systems, most built-in appliances, and waters heaters. In recent years, most HWAC member companies have provided additional coverage for homeowners for such items as garage door openers, washer/dryers and refrigerators.

HWAC is a statewide organization of home warranty companies representing over 93 percent of warranty contracts sold in California.

Members firms include American Home Shield Corporation, Buyers Home Warranty Company, Chicago Home Warranty, Inc., Fidelity National Home Warranty Company, First American Home Buyers Protection, Old Republic Home Protection, Inc., and 2-10 HBW Warranty of California.