Tasmania
Residential Builders' Warranty insurance
Tasmania - Housing Indemnity Act 1992 Changes
The Tasmanian Government has recently made changes to the Housing Indemnity Act 1992 effective as at 1st July 2008. As a result the builder will no longer be required to take out Residential Builder's Warranty insurance. The purchase of this type of insurance coverage is now at the discretion of the consumer.
As a consequence of these changes, QBE Insurance (Australia) Limited will not be renewing or offering any new Residential Builder's Warranty Insurance policies from the 1st July 2008. Builders that have a current QBE Residential Builder's Warranty Policy may purchase individual Builder's Warranty certificates (if requested by the consumer) until expiry of their existing policy.
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 can not recover compensation from the builder because of the following situations:
- death of the builder
- disappearance of the builder
- insolvency of the 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 Tasmanian statutory limitation is set at $200,000 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).
What is the excess?
The excess is $500 (five hundred dollars) for each claim made under this policy.
How long are you covered?
The policy covers loss, damage or expense occurring during the period from the commencement date and ending no earlier than 6 years after the completion of the work or the date of termination of the building contract whichever is the earlier.
How long do you have to claim?
You must notify QBE of the death, disappearance or insolvency of the builder within 90 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.
Tasmanian Government Website
For more information please refer to www.wst.tas.gov.au