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New South Wales

Residential Builders' Warranty in New South Wales

This type of insurance is compulsory for all residential building works carried out by a Licensed Builder in excess of $12,000. The insurance is taken out by the builder in favour of the homeowner (beneficiary) and also covers any subsequent owners of the property during the statutory warranty period.

A brief overview of the New South Wales Residential Builders' Warranty Policy is provided below. For more information view the New South Wales Policy Wording >>

Call us for a competitive quote on 1300 790 723.

Residential Owner Builders' Warranty insurance in New South Wales

This type of insurance is compulsory for all residential building works carried out by an owner builder in excess of $12,000. The insurance is taken out by the owner builder who undertakes the building work in favour of the home purchaser (beneficiary) of the property and also covers any subsequent owners of the property during the statutory warranty period.

A brief overview of the New South Wales Owner Builder Policy is provided below. For more information view the New South Wales Owner Builders' Policy Wording >>

Call us for a competitive quote on 1300 790 723.

Policy Coverage

The Residential Builders' Warranty Policy covers loss or damage resulting from non-completion of the work, loss of deposit or breach of statutory warranty if you cannot recover compensation from the builder because of the following situations:

  • death of the builder
  • disappearance of the builder
  • insolvency of the builder

The Owner Builders' Warranty Policy covers loss or damage resulting from a breach of statutory warranty implied under the Contract of Sale or faulty design (where the design was provided by the owner builder) if you cannot recover compensation from the owner builder because of the following situations:

  • death of the owner builder
  • disappearance of the owner builder
  • insolvency of the owner builder

How much will we pay?

QBE, at its discretion, can either make good the loss or damage or pay the amount of the loss or damage. The NSW statutory limitation is set at a minimum of $300,000 in total in the aggregate for all claims under this policy for each home (including legal costs). The limitation for non-completion is set at 20% of the contract price (including any agreed variations) and only applies to Residential Builders' Warranty Policies.

What is the excess?

The excess is $500 (five hundred dollars) for each claim under the policy.

How long are you covered?

The policy covers loss or damage arising from a non-structural defect for 2 years after the completion of the work. The policy also covers loss or damage arising from a structural defect for 6 years after the completion of the work. The policy also covers loss or damage arising from non-completion of the work for 12 months after the failure to commence, or cessation of, the work.

How long do you have to claim?

You must notify QBE of the death, disappearance or insolvency of the builder within 180 days of you becoming aware of that event.

How do I apply for a QBE Residential Builders' Warranty insurance policy?

Once the Eligibility Application form is completed, please submit your application form and supporting information to one of our authorised brokers.

How do I apply for a QBE Residential Owner Builders' Warranty insurance policy?

A Copy of the Owner Builder Application Form can be found under "For this product" above. Please complete the application form in full and submit with all supporting information to one of our authorised brokers.

NSW Government Website

For further information please refer to www.fairtrading.nsw.gov.au