To the Directors of Tarion Warranty Corporation:

I have reviewed the warranty liabilities of Tarion Warranty Corporation for its Balance Sheet as at December 31, 2009 and their change in the Statement of Operations for the year then ended in accordance with accepted actuarial practice, including the selection of appropriate assumptions and methods.

In my opinion, the amount of these warranty liabilities makes appropriate provision for all warranty obligations, and the financial statements fairly present the results of the review.

James K. Christie
Fellow, Canadian Institute of Actuaries
March 15, 2010