Structural Guarantee/Warranty

What is a Structural Guarantee/Warranty

A Structural Guarantee/Warranty is an insurance policy, providing you (and future owners of your house if you sell within the ten year period) of cover against the cost of complete/partial rebuilding or rectifying work to the house as a result of structural defective design, workmanship or materials.

Also known as latent defects insurance, the cover merely relates to major structural faults in the design or construction of a house, for example, subsidence, drain problems or rain penetration. Snagging defects such as shrinkage cracks, sticking doors or creaking floors are generally excluded.

A Structural Guarantee/Warranty usually lasts 10 years, and should be put in place prior to commencement of building works.


Why take out a Structural Guarantee/Warranty

It is not mandatory to take out a Structural Guarantee/Warranty within the ROI, however, it is highly recommended.

A Structural Guarantee/Warranty will give you peace of mind while progressing through the building works as the warranty provider will inspect the house for any structural defects whilst under construction.

Many lending institutions demand a Structural Warranty/Guarantee if providing a mortgage to a purchaser buying a house less than 10 years old.  So having this cover in place in a sense makes your house more saleable, if it has to be sold within the 10 year period.

By having this type of cover in place, should a structural defect issue arise resulting in complete/partial rebuilding or rectifying of work, the cost implications of this structural defect is dealt with like a normal insurance claim, a much easier process than the alternative of having to sue your Designer/Contractor etc.

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