Structural Building Warranty and Architect Certificate
| |
|
A structural or building warranty is essentially designed to provide some form of liability insurance which pertains to any structural defects that may arise some time in future after completion of a new build project or conversion. The warranty typically covers major defects in design, materials or workmanship and is intended to protect against costs that may arise from the repair of certain elements of the home damaged by a failure in the build process not in accordance with specific technical requirements. Although a building warranty is not a statutory requirement it does form an all important part in the pre-requisite to obtaining a loan from a bank or building society against new build properties usually where there is lack of coverage from standard buildings insurance. Therefore, if you need a mortgage for your self build or intend to build and later sell on to someone who will need a mortgage to buy it, then a building/structural warranty is necessary. Several building warranty providers exist. Some of these include: NHBC, Build Zone, LABC, Zurich, Premier Guarantee. All are designed for customers who are self building or renovating their own home and incorporates an approved inspector technical audit process at various stages of the project to ensure it meets the required standards. A credible, but less popular alternative to obtaining a building warranty is 'The Architects Certificate' which is issued upon completion of inspection of the build project while in progress, typically by your architect. The insurance provided in this instance takes the form of the 'Architect's indemnity insurance' so that in the unfortunate event, a defect does occur in future, the opportunity would arise to start court proceedings against your architect and prove negligence to receive compensation. If a structural problem does arise with your home and you are within your warranty period, you can ascertain if you may be covered by the building warranty by checking your policy or certificate or any accompanying guiding paperwork which may list some anticipated common problems with an indication as to whether these are covered. If you do feel that you have a possible claim, you need to contact the warranty provider as soon as possible. Some preceding conditions such as a payable excess may be in place, depending on your cover. If you are selling your new build/converted home, then any warranty that has not expired, i.e. less than 10 years old can be passed on to your buyer who would then have the added benefit of the warranty. |
|
|
|
|
|
Page last updated: 26/01/2012 * Disclaimer: All article content is the opinion of the author and does not represent the views of RenovationFinance.co.uk. In all instances, you are advised to seek independent advice. |
