Builders Warranty Insurance
Biima
What is Owner-Builder Warranty Insurance and Why YOU Should Get One?
Building a home is a dream come true and a significant investment. However, several things could go wrong when one trusts a third party to construct their home – one might end up bearing the financial burden arising from incomplete or defective building work. A builders warranty insurance is legally required in Australia to secure homeowners against such possibilities. As per law, all builders need to obtain this insurance if a home building project exceeds a certain value, and its cost is usually factored into the contract price.
Builder warranty insurance, also known as home warranty insurance or domestic building insurance, offers financial protection to the owners in case their builder cannot complete the project or deliver it to their expectations. It covers homeowners for losses occurring during building construction or renovation due to a lapse in service delivery or a breach of contract. Such unfavourable circumstances might arise due to the builder’s death, insolvency, or simply because they abandoned the project mid-way. With builder warranty insurance, the homeowner can proceed with added peace of mind that their investment is protected against such possibilities.
All builders are legally required to obtain a builders warranty insurance and provide a copy of the certificate to the homeowner before commencing the work. At BIIMA, we help builders and homeowners navigate the complexities and ensure all home construction projects are protected and all financial complications mitigated. Connect with us to know how we can be of help.
Builders Warranty Insurance
Insurances
Insurances We Provide
At BIIMA, we bring YOU a full spectrum of insurance policies from leading market players to protect YOU, YOUR assets and YOUR business – manage risks and live with added peace of mind.
Why Choose Us as YOUR Builders Warranty Insurance Brokers?
01
Tailored Solutions
Providing personalised insurance support for businesses and individuals since 2015.
02
Diverse Portfolio
A rich insurance portfolio – 85% commercial and 15% personal insurance.
03
Customer-First
We keep YOUR interest, YOUR need, and YOUR satisfaction at the CORE of our Insurance Solutions.
04
Multilingual Experts
We have a multilingual team, so language would never be a barrier to us.
Connect with us to explore tailored builder’s warranty insurance options.
Insurance by Industry
Industries We Cater
We assess risks and vulnerabilities inherent to YOUR industry and ensure YOU are covered where it matters the most. Whether YOU are a small enterprise or a large-scale business, access tailored insurance solutions with us. Diverse industries, ONE Insurance Broker firm!
Secure YOUR Investment with a Builder’s Warranty Insurance
An owner-builder warranty insurance covers –
- Coverage for Incomplete Work Due to Insolvency: If the builder cannot complete the construction work due to insolvency, the insurance covers the construction cost.
- Defect Coverage: The owner builder warranty insurance offers protection against sub-par workmanship, covering structural and non-structural defects for a specified period, 6 years and 2 years, respectively.
- Builder Death or Disappearance: If the builder contractor dies or disappears without completing the project, the insurance ensures the homeowner is not left with an unfinished building.
At BIIMA, we help builders secure appropriate residential builders warranty insurance to establish their credibility, ensure legal compliance, and offer a sense of security to their clients.
- We understand that every construction project is unique. We tailor our services to secure for YOU a policy that best aligns with YOUR scope of work, protecting both YOU and YOUR clients without burdening YOU.
- As a team with years of experience helping builders with their insurance requirements, YOU can expect us to bring YOU policies that meet all regulatory standards in YOUR state.
- We specialise in offering 360-degree assistance during YOUR insurance journey. Our job doesn’t end with bringing YOU potential policy options. If needed, we will also help YOU with policy comparisons, applications, and claim lodgements.
We make the entire insurance process hassle-free and efficient for YOU. Whether YOU need builders warranty insurance for multi-storey buildings, strata homes or any other residential premises, YOU can count on our team for complete assistance. Connect with us to learn more about home warranty insurance for builders and start YOUR insurance journey on the right foot.
Most Asked Queries
Frequently Asked Questions
How do I get business warranty insurance with YOU?
- YOU can connect with us directly over the phone or fill out our online form, and our insurance broker will get back to YOU as soon as possible.
- Share YOUR insurance requirements with us (scope of work, duration, etc).
- We will share basic details like quotes, coverage, special conditions/clauses, and quoted premiums via email.
- YOU choose the insurance company YOU want to proceed with, the date from which YOU wish to commence, and the payment option, which is monthly or annual.
- We will initiate the insurance proceedings and share the documents via mail.
Who needs a builders warranty insurance?
All builders and contractors undertaking residential building projects must get home warranty insurance for builders if the projects exceed a specific value. The bar is typically set at $12,000 but can vary based on the state. It is a legal requirement, and any builder/contractor failing to obtain this policy would be punishable by the law. The homeowners/clients must receive a copy of the insurance certificate before work commences. So, if YOU are a builder, proceed with full legal compliance with the right insurance. Connect with us to get an owner builder warranty insurance with zero hassles.
What doesn’t a builders warranty insurance cover?
A builder warranty insurance doesn’t cover –
- Minor flaws that don’t bring down the structural integrity of the building.
- Damages due to normal wear and tear resulting from constant use.
- Any repair or maintenance work undertaken by the homeowner or another contractor.
- If damage occurs due to negligence in maintaining the property.
- Damages caused by natural disasters like floods, storms, earthquakes, etc.
- The policy might not offer coverage if the builder becomes insolvent due to fraudulent or illegal activities.
While these are the basic exclusions, the exact coverage will depend on the policy. It is always recommended that YOU gather all details about the policy before proceeding with it.
What is the cost of getting owner-builder warranty insurance?
The cost can vary from policy to policy depending on diverse factors like –
- Project value: The higher the project value, the higher the cost.
- Location: Different locations might have diverse insurance requirements.
- Builder’s Financial Status and History: A builder with a clean record can secure insurance at a lower premium.
- Type of construction: Depending on the nature of the construction work (new home build, renovation, etc.), the insurance cost will vary.
At BIIMA, we consider all these factors, conduct thorough market research and secure the most suitable and cost-effective owner-builder warranty insurance for YOU.
Who pays for builders warranty Insurance?
As the builder is supposed to get the builders warranty insurance, the initial liability of paying for it falls on the builder. However, the cost of insurance is usually factored into the contract price, and the homeowner eventually pays for insurance. However, this transfer is based on a mutual understanding, and the builder is responsible for informing the homeowner of this. The homeowner should be given a certificate as proof of insurance before commencing the work. As insurance brokers specialising in residential building warranty insurance, we are versed in all specifics and more; contact us if YOU have any doubts.