Home owners will be protected from shoddy builders under a new insurance scheme announced
by Ryde MP Victor Dominello this week.
Mr Dominello is NSW Minister for Finance, Services and Property and has been a strong advocate for families who have
been sold short by builders unable or unwilling to carry out work.
“This insurance provides a vital safety net for homeowners in the event a builder cannot complete residential building
work or fix defects, due to insolvency, death, disappearance or license suspension,” Mr Dominello said.
“Reform was long overdue and it is the first time since 2010 that private sector providers have been able to join the scheme and offer innovative new products and competitive premiums.”
He said the changes to the NSW Home Building Compensation (HBC) scheme commence this week and will enable private insurers to enter the market and improve protections for homeowners against incomplete and defective work.
“NSW is experiencing a building boom so it is critical that homeowners are adequately protected,” he said.
“The new laws mean there is an opportunity for new providers to enter the market and offer competitive products whilst safeguarding homeowners.”
All builders are required to take out cover under the HBC scheme for residential building projects costing over $20,000.
Each year on average, the scheme accepts liability for 613 claims, and pays out $82.8 million. Other key elements of
the new scheme include an opportunity for homeowners to get greater coverage of $340,000 for defects and $340,000 for
non-completion alongside greater transparency for homeowners and renovators.
For further information visit www.sira.nsw.gov.au