Just a reminder that if you are going to be doing EQC “Opt Out” work, the EQC ‘Opting out of EQC-Managed Repair’ guide (which Owners are required to confirm they have read if they wish to opt out), states:
‘Your Builder should have builders’ ‘all risks’ insurance, which will cover his/her responsibilities under the terms of the contract that s/he has with you.”
‘Builder’s all risks” is a very old-fashioned name for Contract Works Insurance. This is a rather unfortunate statement to say the least, in that it may make Owners think you have automatically got or have arranged CWI cover for them .
The new CBANZ Fixed Price Building Contract clearly sets out the insurance responsibilities of each party and we recommend that you use this contract for all repair jobs.
Please ensure the Owner arranges Contract Works Insurance, (preferably with the same insurer as their house), and advises their house insurer in writing that the repairs are proceeding, to preserve their cover in the event of something happening during the repairs. (We have seen claims denied through not putting such requests in writing).
Recent news articles have shown that Banks and Insurers are now offerring cover for both CWI and completion cover for customers using the Bank’s mortgage offer, but there appears to be some restrictions on where CWI cover is available – appears still to be western suburbs &/or specific new subdivisions.
CBA Insurances now have another Contract Works Insurance facility, at competitive terms, for insuring new builds – both residential and commercial – right across the city and suburbs.
Give Millie a call for Contracts, and Gwenda or Rachael for Insurance – on 0800 237 843.
Operations Manager – Certified Builders