Friday, 09 October 2015
Self-Build House Insurance
There are a number of different types of insurance that you are likely to require when undertaking a self-build project, both during and after the process. Depending on the type of build you are intending, you are likely to need to speak to a professional specialist insurance broker in order to make sure you are fully protected.
The ins and outs of self-build insurance
Site insurance is also often referred to as Contracts Works insurance, and is a lot like your domestic buildings and contents insurance. It will keep you protected from theft and other losses that you might be vulnerable to that will end up costing you time and money like fire / flood. Typically, such policies will cover tools (that you own or hire), sheds / caravans (or other outbuildings), as well as reconstruction costs should a disaster occur.
Employer's liability cover
Employer's Liability cover is required if you are acting as the project manager and employ tradesmen directly yourself, or if you have any one working on your property that is not responsible for their own safety. You are likely to have a duty of care for anyone injured on your property whilst they are working for you (be it directly or indirectly) so you should discuss your liability with your insurer or other legal professional if you are unsure whether you are sufficiently protected.
Income Protection is necessary to protect either you or your partner if something happens to either of you that might prevent you from maintaining your level of income. This could be anything from critical illness to accidental injury, and different types of policy might protect you in different ways. Permanent Health Insurance will usually be designed to replace your income for a set period of time where you are unable to work, usually extending between a few weeks and a year. Life Insurance can be set up to make sure any costs can be paid off automatically if the person who would otherwise be responsible should die unexpectedly.
Joint Contracts Tribunal
JCT (Joint Contracts Tribunal) Clause 21.2.1 Insurance may be required if your development may cause damage to the surrounding area or environment. This type of policy might cover instances such as subsidence or an alteration to groundwater levels caused by your building. Public liability might cover you against negligent damage, but JCT cover will protect if work was undertaken correctly (non-negligently) but still caused unforeseeable damage.
Once your property is built, if you used non-standard building materials in its construction, you may require specialist house insurance. Non-standard insurance is likely to be needed if your property is built using anything but the typical materials, brick / stone walls with tile / slate roofs, and may also be necessary if your home is unusual in design.
Specialist house insurance is available through HomeProtect, no matter what your home is made of or how it's made, as long as it is on fixed foundations within the UK. With HomeProtect you can get a competitive quote for specialist property insurance, but you may need to source a number of the other insurances during the building process elsewhere. It is important that you protect your property development properly.