Foundation for Housing Warranty (HOW)
会社概要

HOW provides supports quality and safety of houses

HOW is contributing improvement of performance of housing functions, consumer protection and development of small andmedium-sized house builders.
１．Supports for implementation of defects warranty
２．Supports for housing defects, warranties, insurance, quality assessments, and inspections
３．Research on defects warranty from neutral stanceBusiness

Supports for implementation of defects warranty
１．Management of Housing Warranty Fund・Taking risks at more than predetermined level for medium and small sized companies who are policy
holders of housing defects liability insurance.
・Providing no interest rate loans to insurance corporations in the event of occurrence of excessive losses.
２．Reinsurance related to losses arising from intention or gross negligenceIn case defects (normally exempt from insurance payments) are raising from intention or gross negligence ofhousing builders or suppliers and such defects are not cured during the reasonable time frame, HOW provides
support to homeowners in order to obtain insurance payments for repair.
３．Reinsurance related to excessive lossesProviding financial assistance to insurance corporations in the event of occurring extraordinary losses
exceeding Yen12.5billion reserve of non-life insurance companies.

The structure which supports Housing Defects Liability Insurance Scheme

Notes:※1 Homebuyers getpayments from HDLICs
directly if insured
companies become
insolvent and cannot repairof fix defects for thereasonable time flame.
※2 Reinsured premium
are based on the size ofrisks taken by member of
non-life insurancecompanies (only Type Iinsurance).
※3 The reserve covers
extraordinary lossesarising from small andmedium-sized companies.

 Responsibility of Housing Warranty Fund
1) Supports for HDLICs to make insurance payments to small & medium-sized companies for newly built houses
2) Supports for HDLICs to make insurance payments to small & medium-sized companies for existing houses
3) Making zero interest-rate loans to HDLICs in the case of shortage of Rescue Fund for Home Buyers (applicable for Type I and Type II insurance)
4) Making zero-interest loans to HDLICs in the event of losses exceeding Y12.5billion reserve (applicable only for Type I insurance).
* There exists difference between 1) and 2) in terms of the scope of extraordinary losses* 3) & 4) are 10-year provisional measures starting from May 30, 2017
Type I insurance (Mandatory) for newly built houses if the buyer of the house is individual or companies which do not have real estate agency license.
Type II insurance (Voluntary) for newly built houses if the buyer is licensed real estate agent, etc.,

Supports for implementation of defects warranty
2006
2007
2012
2017
2018
2020
2021

Establishing Housing Warranty Fund（regarding defects warranty for medium and small sized companies)
Expansion of Housing Warranty Fund ( to cover extraordinary losses arising from intention and gross negligence)
Transfer of business such as defects liability insurance and housing quality assurance scheme to Organization of
Housing Warranty (OHW). HOW retained Housing Warranty Fund.
Study committee for Housing Warranty Fund (for extraordinary losses arising from intention and gross negligence) wasformed
Commencement of reinsurance for intention and gross negligence (establishment of Rescue Fund for Home Buyers )Commencement of reinsurance for extraordinary losses other than intention or gross negligence
The Review Board was formed to discuss intention and gross negligence issues
Adding functions to Housing Warranty Fund in terms of reinsurance to cover catastrophic risks related to existing
housing defects liability insurance

Supports for housing defects, warranties, insurance, quality assessments, and inspections
HOW, upon an appointment of MLIT*, are engaged in administrative assistance to provide subsidies to thenominated entities that conduct projects to improve the quality of housing stock.
* The Ministry of Land, Infrastructure, Transportation and Tourism

１．Improving quality and maintenance of housing stock (Fiscal Year2020~）
The project is providing supports to nominated projects which create platforms toenable existing houses to maintain values by way of inspection, defects liability
insurance, and finance.
The project contains the following tasks:
・Facilitating projects that improve environments for better quality of housing stocks.
・Facilitating projects that various organizations provide an assistance to maintainand keep housing stocks against natural disasters and disputes.
・Facilitating modeling projects that provide financial support to the specialized area

2. Promotion of rental housing (“Smart Wellness”) for people who needs
special assistance to secure housing (FY2022~）
The project is assisting in forming housing stocks with safe and healthy
environments (called “ smart wellness houses”) for various types of people
including senior citizens, the handicapped, and families with small children as
shown below:
・Facilitating projects that enable businesses or individuals to renovate existinghouses specifically for people who need special assistance to secure homes.
・Facilitating modeling projects to improve the quality of the living environment
in order for one hundred years of life）

Research on defects warranty from neutral stance
HOW conducts research on defects and housing warranty from neutral stance
Research (Japan)
・Consumer surveillance regarding defects, warranty and consumer needs for existing houses
・Impact on the Housing Industry arising from the revision of the civil code
・Leaflet titled “Housing Warranty Scheme in Japan (English)”・Study regarding intention and gross negligence related to building of houses and defects
liability insurance of extraordinary losses
Research (Overseas)・Events
・Housing & Home Warranty Programs World Research・Housing Warranty Scheme in Australia (Japanese only)・Construction Insurance in France) and Energy Efficiency regulation for residence
・Building Safety Act and New-Build Warranty in England

Leaflet “Housing Warranty Schemein Japan”

Board ofcouncilors

Organization

Board ofdirectors

Auditors

Chairman ofboard directors

Individual Information
Protection

Executive
Director

Compliance

Housing Warranty
Research Institute

Risk Management

Administration

Insurance

Engineering

Internal Auditor

ResearchSection IIResearchSection I

Assistance for
special projects

History1980198219992000
2008
2012
2013
2018
2020

Registration Organization for Warranted Houses was established as a voluntary organization.
Establishment of Registration Organizaton for Warranted Houses(”ROWH”)
ROWH changed its name to Organization for Housing Warranty (OHW)
Change of governance in comply with Act on Assurance of Performance of Specified Housing Defect Warranty
Commencement of Housing Defects Liability Insurance System to cope with implementation of the Act for Secure Executionof Defect Warranty Liability.
OHW transferred business related to Housing Defects Liability Insurance and Housing Quality Assurance to Organization forHousing Warranty Ltd (OHW ltd).
OHW was reorganized as “General Foundation” and the name was changed to “Foundation for Housing Warranty (“HOW”)
Commencement of underwriting reinsurance for losses arising from intention or gross negligence
Commencement of underwriting reinsurance for catastrophic risks

Foundation for Housing Warranty
3F Mynavi Fudosan Kagurazaka
6-67 Kagurazaka Shinjuku
Tokyo, JAPAN 162-0825〒162-0825
TEL：03-6280-7241
FAX：03-6280-7342
E-mail： information@how.or.jp
URL： https://www.how.or.jp/[Improving quality and maintenancework of Housing stock]E-mail: shienshitsu@how.or.jp
TEL: 03-6280-7201[Promoting Rental Housing for people
who needs special assistance to securehomes]
E-mail: snj@how.or.jp
TEL: 03-6280-8113[Promoting for improvement of better
living environment for one hundredyears of life]
E-mail: snj@how.or.jp
TEL: 03-6280-8113

Access
HOW locates here:
3F Mynavi Fudosan
Kagurazaka
BuildingUshigome
Kagurazaka
Oedo Line

Exit １
Resona Bank
Kagurazaka Branch

Exit Ａ3

Access:・3 minutes from Tokyo Metro Tozai Line
Kagurazaka Stn.
・5 minutes from Toei Oedo Line Ushigome
Kagurazaka Stn.
・10 minutes from Tokyo Metro YurackuchoLine, Nanboku Line, Iidabashi Stn.

Okubo Dori

Kagurazaka-Ue
Yurakucho LineY13 Nanboku
Line N10 Iidabashi Stn.
Kagurazaka Shita

Exit Ｂ3Sotobori DoriJR Iidabahi

As of July 2024