Home Builders Compensation Fund
“Home Warranty Insurance” – is a term that many homeowners are unaware of, prior to starting their renovation or new build journey. So what is it?
Home Building Compensation Fund is managed by insurance company, iCare. In summary, it is insurance for HomeOwners, engaging with a Builder or Licensed Contractor for work valued at over $20,000. It covers any losses to the HomeOwner arising from defective and incomplete work. It is important to understand that this insurance only covers where the Builder or Contractor either:
- becomes insolvent
- disappears, or
- has their building licence suspended due to non-compliance with a money order in your favour made by the NCAT or a Court.