JPS Casey Builders - Northern Beaches Builder
 Commercial Builders Sydney and Residential Builders Sydney
Industry News No.1

Industry News No.1

Legislative Changes to Home Warranty Insurance.

Statutory Warranty periods.

From 1st February, 2012 onward the Warranty period will be 6 years for structural defects and 2 years for non-structural defects. These periods will be extended by 6 months if the homeowner or subsequent purchaser becomes aware of a defect in the last 6 months of these time periods.

New Threshold.

All residential building work worth more than $20,000 must be covered by mandatory Home Warranty Insurance. The current threshold is $12,000. The new threshold will apply to the sale of a home by an owner-builder and to cooling off periods.

Benefits for Homeowners.

Homeowners are required to pay the first $250 of any claim instead of $500.

In addition all Home Warranty Insurance policies after 1st February, 2012 will receive a minimum cover of $340,000, regardless of legislation.

New Category for small job contracts.

After the 1st February, 2012 a new category of written for “small jobs” worth between $1001 and $5000 will come into effect.

A small job contract must be in writing, dated and signed on behalf of both parties and contain the following information.

*The names of the parties, including the name and number of the holder of the contractor license.

*a description of the work (including any plans and specifications for the work)

*The contract price if known.

For more information go to

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