Ahead of the election - getting homes built is a big issue
This ABC article from WA reiterates the importance of domestic building warranty insurance and Australia wide calls for minimum standards on this insurance.
As background, builders failing and the insurance to protect owners is an Australia wide issue. It is critical to building confidence and due to the prevalence of insolvency in the building sector this is not an issue that is going away.
The insurance is continuously complained about for many reasons including:
- This case talks about delay on claiming and an owner being caught up for years claiming;
- The highly litigious approach taken by insurers;
- Caps on the level of cover;
Further, DBI or warranty insurance doesn’t provide adequate protection to support housing growth in Australia.
There are calls for national minimum standards, obviously this is presently with states but perhaps at a federal level this should become a last minute issue for this election.
This should not be overlooked as a key issue is establishing the confidence with homeowners in the domestic building sector to enter building contracts.
This article is a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
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