On Monday, Chris Penk, Minister of Building and Construction, announced that the Government would be making 10 year guarantees compulsory.
New Residential Completion Guarantee Launches
Builtin is excited to announce the launch of a new completion guarantee for residential construction projects. The policy covers up to 10% of the contract value, to a maximum of $100,000. It provides peace of mind to homeowners (and their mortgage lenders) if their...
Opinion: Will insurance ever replace the need for building consents and inspections?
Recently Chris Penk, the Minister for Building & Construction, announced that the Government is looking to “lift the competence” of building professionals and increase penalties as a way to improve efficiency and reduce the cost of building work. In my view, non…
Retentions Regime Under Review Again!
The protection of retentions has been an issue in the construction industry for years, not just in New Zealand but globally. Amendments to the Construction Contracts Act a few years back put obligations on head contractors to protect those retentions by holding them...
Are you doing everything your contract requires you to?
A lot of insurance is tied to contracts, so it’s critical you understand what’s in your contract and comply with the requirements in there. Even if you use a standard contract, things might change and you need to be on top of this, or you might end up in hot water....
Contractors Bonds Explained
A bond is a guarantee from a third party that if a company fails to deliver on its contractual obligations the bond provider (called a guarantor or surety) will pay instead. It reduces the risks for contracting parties, because they know that if something happens they w…
A Best Practice Payment Schedule for New Residential Construction
There are always two sides to every story. It’s no different when it comes to payment schedules in a building contract. Getting it right is a balancing act.
Bonds & Guarantees – Winning Clients, Lowering Costs & Reducing Risk In a Recession
While the precise impact of a recession on our construction sector is unknown it will no doubt affect many small businesses as less work is pushed through the pipeline. For savvy business owners there are options to help both reduce risk to their own profitability and g…
Reassuring Clients With An Independent Guarantee + Other Ideas To Help Your Business During Difficult Times
Check out how a guarantee can help reassure clients during these uncertain times. Plus, other ideas to help manage your business risk including short term small business loans and ways to improve your cashflow as the economy takes a hit from coronavirus.
Yet More Obligations On Builders? – MBIE Review Of Insurance Requirements
MBIE are currently reviewing aspects of New Zealand’s building system. Part of this review includes how risk is allocated across the various players in the sector. One recommendation would: Require that a guarantee and insurance product is put in place for all...