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Owner Builder Indemnity (WA)

Owner Builder Home Indemnity Insurance is required in Western Australia when an owner builder sells their dwelling within the Statutory Indemnity period.

The Period of Cover is 7 years from the Building License Issue date. Home Indemnity Insurance covers Residential/Domestic Building Work. Multi Unit developments exceeding 3 story’s and fully leased retirement villages are exempt from obtaining Home Indemnity Insurance.

The minimum value of works required to obtain Home Indemnity Insurance is $20,000. The maximum amount that can be claimed under a Home Indemnity Insurance policy is the value of contract work with a limit of $100,000.The purchaser and any subsequent purchaser of the home, not the actual owner builder, can claim on their Indemnity Policy if the owner builder has become insolvent, died or disappeared.

Home Indemnity Insurance only covers defects, which are not identified in the Inspection Report that are identified within the 7 year Statutory Indemnity period. Failure to provide this insurance prior to selling the property can result in fines up to $10,000. If a contract of sale has been entered into without providing the Indemnity Insurance, the purchaser has rights to pull out of the sale prior to completion of the contract.

 Increasingly Owner Builder specific skills, knowledge and value adding service levels will drive customer satisfaction, security and comfort.

AOBIS is Australia’s exclusive Owner Builder underwriting agency – we know, live and protect Owner Builders across the nation. We don’t compete with our valued intermediaries. We don’t tie our customers up in paper work. We speak in plain English. Our job is to serve with professional ease, swiftly, and with detail and confidence.

Need a home indemnity quote – this is what we require

  1. Cost of residential Owner Builder works
  2. Current Defects Report, prepared by an approved Building Inspector
  3. Building Licence from Council
  4. Owner Builder BRB/BSB certificate
  5. Drivers Licence
  6. Complete and sign Owner Builder Indemnity Application form

Our response time to generate your Indemnity Certificate is normally within 120 minutes and of course subject to quality and detail of the application.

About Home Indemnity Insurance WA

Some insurers like to make hard work of Owner Builder Insurances: multi page forms, relentless paper work and certificate after certificate.

AOBIS is exclusive Owner Builder. We have a comprehensive knowledge about this business and how to effectively and seamlessly assess Owner Builder insurances. Our whole purpose of existence is to serve Owner Builders. After a decade of experiences and purpose built underwriting systems coupled with seamless processes, we de-mystify insurance to make it easy and affordable. At the Home Indemnity stage, only one thing matters to the Owner Builder – selling the home for maximum value. So, insurance companies should not get in the way.

Owner Builder Indemnity is statutory warranty insurance. Insurance is taken out by the Owner Builder in favour of the new homeowner (the purchaser of your home). It is compulsory for all residential building works carried out when:

  1. The project cost (the works) are in excess of $20,000, and,
  2. You (the owner builder) are selling your home within 7 years from the building licence date

About AOBIS and 3 easy steps

The sale of your home is important. Our aim is to provide a fast, responsive, professional service that makes obtaining this insurance easy for you.

Step 1:

Obtain a suitable defects report. This is a special ‘Owner Builder’ report that details structural and non structural defects. It is separate from your mandatory building inspections. In our opinion, the greater the level of detail included in the defects report the better you, as the Owner Builder, are protected during the statutory Indemnity period.

What you need to know about the Defects Report Inspector. Check they hold current Professional Indemnity insurance.

  1. Make a copy of the certificate of insurance.
  2. Check the expiry date and record it in your files
  3. The date of the defects report must be no more than 6 months old (so make sure the report is not too old before you send it)

Prior to the Inspector arriving search your files for the following:

  1. Your building licence
  2. Any mandatory building inspections carried out during the works
  3. Any electrical and plumbing certificates
  4. Relevant termite treatment reports

Step Two:

Prepare your application (checklist)

Our objective is to provide you with the fastest possible service. To enable us to do this we need to receive all of the required documents that support your application for insurance. So once you have your defects report completed it’s time to get the paperwork in order.

Step three – Check:

To process your application for insurance we’ll require a completed Owner Builder Insurance Application Form–Use the checklist below to confirm you have everything you need.

  • Completed Application Form and attach
  • Copy of building licence issued by the local authority
  • BSB/BRB Certificate
  • Current defects report from your building inspector
  • Copy of Owner Builders Driver’s Licence