You are signing a maintenance contract. The salesperson mentions "our Silver tier" as if everyone knows what that means. You nod. They slide the signature page across the table.
You have no idea what Silver includes. You have no idea what it excludes. You have no idea how it compares to the Gold tier they briefly mentioned, or to the competitor's "Signature" package you saw last month. The salesperson knows exactly what these terms mean. You are making a decision that will cost your building $50,000 to $150,000 over the next five years based on language designed to sound official while obscuring actual coverage.
Every major elevator OEM has tiered service contracts. Otis has four tiers. KONE uses modular pricing. Schindler ties coverage to building traffic. TK uses three tiers. None of them use the same terminology. None of them make direct comparison easy. This is not accidental.
This guide is your decoder ring. We break down each OEM's tier structure, show you what each level actually includes and excludes, and give you a comparison framework to evaluate whether your current tier matches your equipment's needs.
Why OEMs Use Tiered Pricing
Before we decode the tiers, understand why they exist. Tiered pricing serves the elevator company, not you. That does not make it illegitimate, but it should inform how you negotiate.
Margin optimization. Higher tiers carry higher premiums but also more predictable costs for the service provider. OEMs price top tiers to capture premium customers who value certainty. They price lower tiers to capture price-sensitive customers who will absorb repair costs later, often at high markup.
Risk segmentation. Elevator companies know which equipment ages poorly. They use tier structures to push older, riskier equipment toward lower coverage levels where major failures become your problem, not theirs. The "recommendation" to move to a lower tier as equipment ages is not about saving you money. It is about limiting their exposure.
Sales tool. "Most buildings in your category choose our Gold tier" creates social proof. It makes you feel like you are making a reasonable, normal decision. What they do not say is that Gold excludes controller coverage on your 18-year-old equipment, and controller failure is statistically likely within the next 36 months.
Lock-in mechanism. Upgrading tiers mid-contract often requires signing a new multi-year term. If your equipment starts failing more frequently and you realize you need higher coverage, you may find that upgrade comes with a 5-year commitment. This is by design.
The solution is not to reject tiered pricing. It is to understand exactly what you are buying before you sign. Ask questions. Get exclusions in writing. Compare to this guide.
Otis Tier Structure
Otis typically uses a four-tier system, though tier names vary by region and change periodically. The most common naming conventions are Premier/Signature/Professional/Essential or Gold/Silver/Bronze/Basic.
Premier (or equivalent top tier)
This is Otis's true full maintenance contract. Coverage includes:
- Controller repairs and replacement
- Machine and motor repairs
- Door operator repairs and replacement
- VFD/drive repairs
- Hydraulic power unit components (for hydraulic elevators)
- Parts and labor for virtually all operating components
Premier-tier contracts typically run $8,000 to $15,000 per unit annually for standard commercial equipment. The premium over lower tiers is substantial, but so is the coverage.
Signature (or equivalent second tier)
Signature looks like full maintenance on paper. It covers routine maintenance, most repairs, and includes callbacks. What it often excludes:
- Controller replacement (exposure: $8,000-$12,000)
- Major drive components
- Sometimes the machine or motor
The contract language may describe Signature as "comprehensive maintenance" or "full service coverage." Read the exclusion list. On equipment over 15 years old, the excluded components are the ones most likely to fail.
Professional (or equivalent third tier)
Professional is where significant exclusions accumulate. This tier typically covers:
- Routine maintenance visits
- Adjustment and calibration
- Minor repairs and callbacks
What it excludes:
- Controller
- Machine/motor
- Door operators (sometimes)
- Major hydraulic components
- VFD/drives
For buildings on Professional-tier contracts, repair costs become unpredictable. You pay less monthly but face potential five-figure invoices without warning.
Essential (or equivalent bottom tier)
Essential is an oil-and-grease contract with an official-sounding name. Coverage includes:
- Scheduled maintenance visits
- Lubrication and adjustment
- Minor consumables
Nearly all parts are billable. Every component failure generates a separate invoice at retail pricing. This tier exists for buildings with new equipment under warranty or owners who prefer to self-insure major repairs.
The Otis Lock-In Factor
Otis Gen3 and Gen360 systems require Otis service for diagnostic access. If your building has these controllers, lower tiers become especially risky because third-party service options are limited. You cannot easily switch providers to escape a bad contract, which gives Otis leverage on tier pricing and exclusions.
KONE Tier Structure
KONE uses a modular pricing system rather than fixed tiers. You build your coverage package by selecting components from a menu.
Base Maintenance Package
All KONE contracts start with a base package covering:
- Scheduled maintenance visits
- Safety device inspection and adjustment
- Minor repairs and adjustments
- Regulatory inspection preparation
This base package is roughly equivalent to other OEMs' lowest tier. By itself, it leaves most components uncovered.
Optional Modules
KONE sells additional coverage as modules you add to the base:
Callback module: Includes a specified number of service calls per year. Callbacks beyond the limit become billable. Buildings with older equipment often exceed these limits.
Major component module: Covers controller, machine, and motor repairs. This module carries a significant premium but provides the coverage that makes a contract truly "full maintenance."
Door operator module: Covers door operator repairs and replacement. Since door systems account for the majority of callbacks, this module sees heavy use on aging equipment.
Remote monitoring module: Connects your elevator to KONE's monitoring system for predictive maintenance and faster dispatch. Useful but not a substitute for component coverage.
Modular Advantage and Disadvantage
The advantage is flexibility. You can tailor coverage to your specific equipment and risk tolerance. A building with new equipment might select only the callback module. A building with aging equipment might add every module available.
The disadvantage is complexity and gaps. Sales representatives may not emphasize which modules are essential for your equipment age. Buildings end up with coverage that looks comprehensive but has critical exclusions.
The KONE MRL Warning
KONE MonoSpace and EcoSpace MRL elevators use flat belts instead of traditional steel ropes. Belt replacement is expensive, and belt coverage is frequently excluded even in otherwise comprehensive packages. If you have a KONE MRL, verify belt coverage in writing. The MRL bearing and belt crisis is affecting buildings nationwide.
Schindler Tier Structure
Schindler uses a traffic-based pricing model that differs from traditional tier structures. Coverage is tied to your building's estimated elevator traffic, which determines callback allocation.
How Traffic-Based Pricing Works
Schindler estimates your building's daily traffic (passenger trips per day) during contract negotiation. This estimate determines:
- Number of included callbacks per year
- Response time commitments
- Parts coverage thresholds
High-traffic buildings (hospitals, hotels, high-rise residential) receive more included callbacks. Low-traffic buildings (professional offices, low-rise commercial) receive fewer.
Traffic Tier Examples
High-traffic allocation: 15-20+ callbacks included annually, premium response times, broader parts coverage.
Medium-traffic allocation: 8-12 callbacks included, standard response times, standard parts coverage.
Low-traffic allocation: 4-6 callbacks included, standard response times, parts coverage may have exclusions.
The Traffic Estimate Problem
Traffic estimates are negotiated, not measured. If the Schindler salesperson estimates your traffic lower than actual use, you will exceed your callback allocation quickly. Every callback beyond your allocation becomes billable at $300-$800 per visit.
Buildings often discover their traffic estimate was low after six months of exceeding callback limits. By then, the contract is signed, and renegotiating the estimate requires leverage you may not have.
Verifying Your Traffic Estimate
Ask for the specific traffic assumptions in writing. Request historical callback data from the previous service provider. If Schindler is estimating 800 passenger trips per day and your data shows 1,200, challenge the estimate before signing. Your callback allocation depends on getting this number right.
Schindler Miconic and PORT Systems
Schindler's Miconic 10 and PORT Technology systems require specialized service. These systems use destination dispatch and proprietary algorithms that independent companies cannot fully support. If you have these systems, your service options are limited to Schindler, which affects negotiating leverage on tier pricing and exclusions.
TK Elevator (ThyssenKrupp) Tier Structure
TK uses a three-tier system, typically named Platinum/Gold/Silver or similar variations.
Platinum (or equivalent top tier)
Platinum is TK's full maintenance offering, covering:
- Controller repairs and replacement
- Machine and motor
- Door operators
- VFD/drives
- Hydraulic power unit components
- Parts and labor for operating components
Coverage is comparable to other OEMs' top tiers, with pricing in the $7,000 to $14,000 range for standard commercial equipment.
Gold (or equivalent mid tier)
Gold covers routine maintenance and most repairs but includes strategic exclusions. Common Gold-tier exclusions:
- Controller (sometimes)
- Machine or motor (one or both)
- Specific high-cost components
The Gold tier often appears in proposals as the "recommended" option. Review the exclusion list carefully. On equipment over 15 years old, excluded components represent your largest financial exposure.
Silver (or equivalent bottom tier)
Silver is an oil-and-grease equivalent. Coverage includes:
- Scheduled maintenance
- Adjustment and lubrication
- Minor consumables
All major component repairs are billable separately.
The TK Legacy Controller Issue
Following TK's acquisition of Dover Elevator, legacy equipment uses multiple controller platforms. Some of these platforms, particularly Dover DMC controllers, have limited parts availability and no long-term support path.
If your building has Dover legacy equipment, verify that your service tier includes controller coverage while parts remain available. Once parts become obsolete, your contract may exclude the very component most likely to fail.
The OEM Comparison Matrix
Here is how the major OEMs compare across key coverage dimensions:
| Aspect | Otis | KONE | Schindler | TK |
|---|---|---|---|---|
| Structure | 4 fixed tiers | Modular (base + add-ons) | Traffic-based allocation | 3 fixed tiers |
| Top tier name | Premier | Full modules selected | High-traffic allocation | Platinum |
| Controller coverage | Premier only | Major component module | Varies by traffic tier | Platinum only |
| Machine coverage | Premier/Signature | Major component module | Usually included | Platinum/Gold varies |
| Door operator coverage | Top 2 tiers | Door operator module | Usually included | Top 2 tiers |
| Callback model | Varies by tier | Module-based allocation | Traffic-based allocation | Varies by tier |
| Proprietary lock-in risk | Gen3/Gen360 | MonoSpace/EcoSpace belts | Miconic/PORT | Legacy DMC |
What This Matrix Reveals
No OEM provides true full maintenance coverage at their mid-tier level. If you need comprehensive protection, you pay for the top tier. There are no shortcuts.
The "recommended" tier from any OEM salesperson is designed to maximize their margin while appearing reasonable. It is not designed to protect your building from predictable component failures.
How to Choose the Right Tier
Tier selection should be driven by your equipment's specific characteristics, not by what the salesperson recommends or what "most buildings" supposedly choose.
Equipment Age Decision Framework
Under 10 years old: Mid-tier coverage may be acceptable. Components are relatively new, failure rates are low, and warranty may still cover some items. Verify what the manufacturer warranty excludes before assuming mid-tier is sufficient.
10-15 years old: Consider top-tier coverage. This is when callback frequency increases and component wear becomes significant. The premium for top-tier coverage often pays for itself within 2-3 years through avoided repair invoices.
Over 15 years old: Top-tier coverage is almost always the better financial decision. Equipment in this age range has statistically higher failure rates for controllers, drives, and major components. Excluding these items from coverage creates exposure of $30,000 to $80,000 per failure event.
Controller Type Considerations
Proprietary controllers limit your service options. If you have Otis Gen3/Gen360, KONE EcoSpace, Schindler Miconic/PORT, or similar proprietary systems, your negotiating leverage is reduced. Top-tier coverage becomes more important because you cannot easily switch providers if coverage gaps become problematic.
Non-proprietary controllers (generic controls, independent brands) give you more flexibility. You can bid independent elevator companies against OEMs and potentially secure better terms.
Traffic Considerations
High-traffic buildings (hospitals, hotels, high-rise residential) generate more callbacks. Higher tier coverage that includes more callbacks or unlimited callbacks provides better value in these environments.
Low-traffic buildings (professional offices, low-rise commercial) may find mid-tier coverage adequate if callback frequency is genuinely low. Verify your actual callback history before assuming low traffic.
Budget Certainty vs. Risk Tolerance
Top-tier coverage provides predictable costs. You pay a higher monthly fee but absorb no surprise invoices. This suits buildings that budget conservatively and cannot easily absorb $20,000 to $50,000 repair events.
Lower-tier coverage trades monthly savings for risk exposure. This suits buildings with capital reserves for major repairs and tolerance for cost variability. Most buildings overestimate their tolerance and underestimate their exposure.
Questions to Ask Before Signing
Before accepting any tier, get these questions answered in writing:
- What specific components are excluded from coverage?
- What defines a "billable" repair vs. a covered repair?
- What is the callback limit, and what happens when we exceed it?
- What is the labor rate for work outside the contract scope?
- If we need to upgrade tiers later, what are the terms?
- What parts are proprietary and available only through you?
The answers to these questions reveal more than the tier name ever will.
Decode Your Current Contract
Not sure what tier you are actually on or what it excludes? Upload your contract to our Contract Scanner. We identify your coverage level, flag exclusions, and compare your terms to industry benchmarks.
Knowing what your contract actually covers is the first step toward knowing what it should cover. Most property managers discover their coverage is narrower than they assumed. Better to know before the next component fails than after the invoice arrives.
Related Resources
Contract fundamentals:
- Full Maintenance vs. Examination Contract - The two basic contract types explained
- Elevator Contract Review Guide - How to evaluate any service agreement
- Hidden Fees in Elevator Maintenance Contracts - Where the money hides
Equipment considerations:
- Proprietary vs. Non-Proprietary Elevators - How controller type affects your options
- Otis Diagnostic Lock-In - What Gen3/Gen360 owners need to know
- Elevator Obsolescence Trap - When parts availability drives decisions
Cost context:
- What Elevator Repairs Cost - Repair pricing by component
- Elevator Callback Cost - The true cost of service calls
- Elevator Modernization Cost - When to modernize instead of repair
ElevatorBlueprint provides independent educational content for property managers and building owners. We are not affiliated with any elevator service provider.