What is Adjacent Property Protection in Victoria?

In Owner Builder Latest News by G G

If you are an Owner Builder, building on or near the boundary of another property, the building surveyor may consider the adjoining property is at risk of significant damage from the building work and issue a Work Protection notices. Insurance that will cover the adjoining property is part of the requirements when the protection works process is triggered by the relevant building surveyor.

The Insurance requirements are detailed in the Building Act Section 93 and require the Owner Builder to arrange insurance cover. The Owner is required under this section to obtain an insurance policy in the favour of the adjoining owner before protection work begins.

S93 (1) Before any protection work is commenced in respect of an adjoining property, an owner must ensure that a contract of insurance is in force, in accordance with this section, against—

(a) damage by the proposed protection work to the adjoining property; and

(b) any liabilities likely to be incurred to adjoining occupiers and members of the public during the carrying out of the building work and for a period of 12 months after that building work is completed. (2) The contract of insurance must be entered into with an insurer and for an amount— (a) agreed to by the owner and the adjoining owner; or (b) in the event of a dispute, determined by the Building Appeals Board under Part 10.

(3) The owner must lodge a copy of the contract of insurance with the adjoining owner before the commencement of the protection work. (4) The owner must ensure that the contract of insurance is renewed or extended as often as may be necessary during the carrying out of the building work and for 12 months after that work is completed. (5) The owner must lodge a copy of a document evidencing the renewal or extension of the contract of insurance with the adjoining owner as soon as it is practicable to do so after the renewal or extension.

To protect you and your neighbours, organise a Construction and Public Liability Policy that will do the job.