Homebond vs Latent defects insurance

lownhard

Hi

I was what the difference is between these.

Just about to embark on a build on what going to force the contractor to join the Homebond scheme.

However would I be better off with latent defects cover? Is this a one off policy I could take out myself?

Thanks

Deano7

lownhard wrote: »

Hi

I was what the difference is between these.

Just about to embark on a build on what going to force the contractor to join the Homebond scheme.

However would I be better off with latent defects cover? Is this a one off policy I could take out myself?

Thanks

The real question is how do they pay you in the unlikely event something goes wrong? You will want a cash settlement and a good loss assessor to assist you. Some policies provide reinstatement. But would you want reinstatement from the builder who built the defected house!!!?

I copied and pasted further details below.

Latent defects insurance is an insurance that covers against unexpected on non-visible defects, poor workmanship (wooden beams, interior bricks), inadequate materials or bad design in general. Usually the defects are not discovered until work completion.
These are generally defects that cannot be seen on close inspection and are usually hidden and would need to break through areas of the property in order to access and view the extent of damages.
What is covered under the latent defect insurance? That depends on the company, but usually damages caused by structural defects, , ingress of water land movement among other things. The policy covers the cost up to the maximum amount insured. Do speak to your provider for more information on what is covered in your policy.
Latent defects insurance covers residential and commercial property, mixed use properties and it covers self-builds as well.

HomeBond Insurance
HomeBond provides HomeBond Insurance through HomeBond Insurance Services Ltd underwritten by Allianz plc. HomeBond Insurance is structural defect insurance with deposit and stage payment cover for new homes. Once the Certificate of Insurance (Final Certification) is issued, HomeBond Insurance provides financial cover* for relevant structural and relevant defects, should they arise. The Policy covers*:

Structural Defects
Cover for 10 years in respect of the repair of major structural defects.
Smoke Penetration / Water Ingress
Cover for 5 years in respect of remedial work in the event of water ingress / smoke penetration caused by major structural defects.
Deposits & Stage Payments
Cover for the loss of money deposited for the construction or purchase of a new home.