Submitted by admin on Thu, 06/10/2010 - 08:42
- Home Warranty for Owner Builders is only required if you are selling your home within a certain time after building or renovating. Most sellers are unaware of this statutory condition and will be notified upon sale by their lawyer or conveyance company. The time period for this insurance is if you are selling within 6 years from occupation certificate in NSW and Victoria and 7 Years from issuance of building permit in WA.
- This insurance policy that you pass onto the new owner basically covers any defective work in your previous build or renovation. The new owner can only claim on this policy if you, the Owner Builder, has died, disappeared or become insolvent. Please note that the Owner Builder is responsible for rectifying defects at the request of the subsequent owner for the statutory period.
Several ways of protecting against financially rectifying defects are:
- Have sub contracts in place making defects the responsibility of the individual trades.
- Ensure where sub contractors are undertaking work over $12,000 in NSW that they also carry their own Home warranty certificate.
- Ensure work is certified and documented.
- When obtaining Warranty Insurance, please make sure all compliance certificates are available and there will be a need for a Defects Inspection report prior to issuance, SHC can organize this on your behalf.
Contact our insurance brokers on 1300 550 665 or email customerservice@shcorp.com.au to organise your Insurance now!
