This is insurance that you take out for your client on works over $16,000. It was previously known as 'builders warranty insurance'.
You must provide your client with a copy of the policy and a certificate of currency covering their property before you take a deposit or any other money.
For more information, view our Taking payments for home building page.
The insurance covers your client if, before work is complete, you:
- are declared insolvent
It covers costs up to $300,000 to fix structural defects for six years, and non-structural defects for two years.
In all other cases, it is up to you to fix or complete works, or to pay any costs awarded.
On 1 July 2017, the Victorian Managed Insurance Authority (VMIA) introduced BuildVic, an online portal for builders to manage their domestic building insurance. To access BuildVic, visit the Builders section of the VMIA website.
Where to next: