Owner Builder Construction Insurance

Hi all,

My husband and I are about to start construction on our house and I'm wanting to get owner builder construction insurance to cover us for the shortfall of the builder's insurance (such as third party injury for anyone not authorised to be onsite).

Can anyone recommend a good insurance company to use?

Any help would be appreciated.

Thanks!
Lee

 

• Are you going to be the builder ie owner builder? Or is there a builder doing the works?
• What risks are you trying to cover? The builder will have their own public liability and workers compensation insurance and should also have a contractors all risk policy.
• It is mandatory that the builder effect Home Owners Warranty insurance

You might want public liability in your own right but as the builder is in control of the site, it's not your risk.

 

Hi!
In response to your questions,
- There is a builder doing the works.
- We are mostly wanting to cover, theft, vandalism, third party personal injury for anyone not authorised to be onsite (our builder's insurance does not cover this - only covers people who are authorised to be onsite), and any damage to neighbouring properties.

 

They are the builder's risks not yours. The builder effectively controls the site, you so not have authority to access unless invited. They are the Principal Contractor and cannot contract out of their obligations.

The builder has to effect public liability insurance under the terms of the building contract. This covers damage to adjoining properties eg cracking due to excavating or vibration.

If in doubt seek legal advice prior to signing and also clarify with an insurance broker the insurance provisions.

 

Ok, thanks. I think it's public liability insurance that I'm after. When I spoke to the builders they said their liability insurance does not cover us should, for example, some kids sneak on site without authorisation and injure themselves. We would be held liable not them if anything happens.

I had a look online and most insurance agencies seem to only sell public liability insurance to businesses is this correct? Not sure who to approach to get this insurance..

 

I think you only need this if you are an owner builder. Not if you have employed a registered builder to do the project.

 

@savagelee5 The builder is in control of the site, you have no control over site security and no responsibility. Ensure that the building contract appoints the builder as Principal Contractor.

Principal Contractor - NSW
Principal Contractor - icare
Principal Contractor - obligations
Principal Contractor - boring legal bits
Principal Contractor - HIA fencing obligations

There's usually public liability insurance within your normal home insurance policies.