What work requires insurance

Definition of insurable residential construction work

All residential construction projects that cost more than $3,300 (labour, materials and GST) must have home warranty insurance.

This insurance must be built into the contract price if you are:

• building
• extending
• adding
• altering
• renovating
• repairing

any residential building, which includes a:

• new home
• residential outbuilding that has a roof, e.g. a garage or carport, pool change room
• manufactured home
• home in an over-50s village (that is not part of a registered retirement village )
• townhouse or duplex
• multiple-unit dwelling up to 3 storeys above a car park.

Home warranty insurance must also be taken out when the project cost (labour, materials and GST) is more than $3,300 for:

• replacing or refitting fixtures or fittings in a kitchen or bathroom
• replacing or fixing windows or doors
• working on a home's deck or verandah
• restoring or repairing roofs
• doing any building work that affects the structural integrity of the building
• working on or in the home or related outbuilding (e.g. painting, tiling, plastering)
• doing any project that requires building or plumbing approval on anything attached to the home or related outbuilding
• building work for the primary water supply (e.g. installing a water tank for primary water supply)
• building work for sewerage or drainage (e.g. working on a sanitary drain connecting a residence to the sewerage main)
• stormwater drainage (e.g. repairing a downpipe or gutter)
• working on any structure attached to the external part of a home or related outbuilding which has no other supporting structure (e.g. awning, handrail)
• working on stairs or a ramp which provide access and are permanently attached to the home or outbuilding
• constructing or installing swimming pools (but not renovating swimming pools)
• building associated infrastructure as part of a bigger project (however, these items are only covered for non-completion claims and not for defective work), including:
  • driveways
  • paths
  • roads
  • fences
  • air conditioning
  • hot water systems
  • security doors and grilles
  • landscaping.

Construction work not requiring home warranty insurance

If done on their own (that is, not as part of a bigger building project) you do not need to get home warranty insurance for building or installing:

• driveways
• paths
• fences
• air conditioning
• hot water systems
• security doors and grilles
• landscaping.

What is not insurable residential construction work

Insurance through the Home Warranty Scheme cannot be taken out for building or renovating a:

• multiple-unit dwelling of 4 storeys or more above a car park 
• boarding house
• caravan park
• hostel
• backpackers accommodation
• guest house
• hotel
• school
• hospital
• retirement village
• owner-builder work.

You cannot take out home warranty insurance for renovating, extending or adding to a:

• caravan
• tent
• trailer
• temporary building e.g. a demountable.

You can't take out home warranty insurance on:

• projects costing less than $3,300 (including materials, labour and GST)
• commercial building work
• work done by unlicensed contractors
• owner builder projects.

Mixed use construction not insurable

Mixed residential-commercial construction is not insurable.

For example,  if your project has 2 storeys of shops and 1 storey residential you cannot insure it through the Queensland Home Warranty Scheme.