If you are involved in the construction of residential and commercial buildings, there will be a need to protect your investment against any structural defects occurring. Structural warranties are a standard practice amongst the construction industry and have become part of the requirement criteria for many lenders and funders across the country. They have been designed to give you peace of mind once the build is completed and provide a quick and efficient process for rectifying damage.
If you are looking to start a development, you should consider purchasing either a New Homes or Development Warranty.
To obtain a quotation, you will first require to become registered with Insurers as a Developer and / or Builder. We will send you a Registration Form to be completed with all the relevant details so we can begin the process.
Once you are registered as a developer and/or builder, there will be an application form to complete in order to obtain quotations. Quotations usually take up to five days to process if the form is filled in as thoroughly as possible to reduce any further requests for information.
What is a Warranty? Covers the first 10 years in the life of a new build.
If something is fundamentally wrong caused by faults in design, materials or workmanship in the structure i.e. walls cracking, penetrating damp, draws not working properly, the warranty provider will fix it instead of you chasing the builders or architects.
Cover can also provide a building control package to meet building regulations and, provide an experienced surveyor on site who will be responsible for the development from initial contact to completion.
Cover can also provide contingency Collateral Warranty Insurance. If a company involved in the collateral warranties on the development enters into administration, you will be unable to pursue them for damages should any defects occur in the property. This means you will be liable for carrying out the work needed to repair these defects so contingency cover can be provided to property developers, who continue to use collateral warranties as their main source of protection, with a contingency cover against the impact that builder insolvency can have.
What affects the cost of warranty? There are three main elements that will affect the cost of the warranty:
• Developer rating – this is calculated using your past experience and claims history, along with any rating scores you have from other warranty providers.
• Your financial strength – this will dictate whether Insurers need to request any additional security from you.
• The size of development – either the total reconstruction (for developments) or sale price of development (for new homes).