What is a building warranty?
A building warranty is an insurance product that offers cover for the structural parts of a new building. Typically, a building warranty can be offered on new build developments, self-builds, social housing and new commercial buildings.
A building warranty covers aspects such as:
- Cover for the complete or partial rebuilding or rectifying of any defect in the structural design of the new home
- Cover for repairing, replacing or rectifying any part of the waterproof envelope
- Cover for the cost of making good any defects in the chimneys or flues
One of the benefits of building warranty cover from a company such as CRL rather than relying on a developer or architect certificate is that it is provided on a first-party material damage basis, therefore, no requirement to prove fault or negligence. This means reduced stress and your claim can be settled much more quickly.
Who is a building warranty for?
A building warranty is for a range of companies, councils and social organisations, developers and individuals who are involved in the construction of new homes.
CRL also offer retrospective cover meaning that if you own a home that was built recently without the benefit of a warranty you can apply for one retrospectively and give yourself protection should anything go wrong.
Why does a building warranty last for ten years?
A building warranty generally lasts for 10 years from the date of legal completion, although in some cases a 12 year or 15 year warranty may be available.
The reason a warranty lasts for this reasonably long period of time is down to the nature of structural faults. If any errors are made in construction or if there are faults with the materials used they can often be hidden behind the finish of the new home and do not become apparent for some time afterwards. By using a policy of ten years it gives homeowners a reasonable chance to detect any faults in their home and claim for repairs using the warranty.