owner builder - insurance?

Discussion in 'Adding Value' started by jsoe, 8th Jan, 2013.

  1. jsoe

    jsoe curious and keen to learn

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    Hi all,
    We're about to begin garage conversion to 2 bed 1 bath granny flat. I'd like to know what sort of insurances to get (to be wise) rather than taking on all options out there. I have contractors (plumber, electrician, carpenter) for less than $12,000 worth of work and contract.
    My husband, brother-in-law, and I will be doing the general build. It's relatively a small job.

    Thanks heaps!
     
  2. sammy1

    sammy1 Member

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    Under 20k,no insurance is required as far as i know.
     
  3. Ironlady

    Ironlady Member

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    Hi jsoe

    In Cessnock I think the council uses a cost calculator which works on sq meteres.
    So they work on what the construction is worth.
    Not sure on your council.
    You could try to argue the cost down.
    Probably best to talk to council or I'm sure someone else here would Know.

    Ironlady
     
  4. veseli

    veseli Member

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    Im sure you had all these questions when you were doing owner builder test, and you should know this.

    -You need Public Liability 5milion
    -You need Home Owners warranty if you are planning on selling your house within 6 years, and if the total amount was over $20,000
    -You need contact works insurance.

    Good luck.
     
  5. jsoe

    jsoe curious and keen to learn

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    Sydney NSW
    HI all, Thanks.
    Yes, I know the above are required. But they are also asking me to consider these:
    Voluntary Workers Insurance
    Home Owner Warranty Insurance
    Home and Contents Insurance

    Are they truly necessary? Total job will cost about $25,000 including materials. But contracts with plumber $10k and electrician $3k, so no individual contract exceeding $12k.

    Thanks.
     
  6. Rockstar

    Rockstar Member

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  7. Coconutwheels

    Coconutwheels Member

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    I did an owner builder job a couple of year ago, relocated a house onto our block. From my experience Home Owner Warranty Insurance is not necessary unless you sell within 5 years.

    Cheers,

    Ben
     
  8. brazen

    brazen Member

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    It all depends on what you tell your Certifier (or Council) your 'Cost of Works' are. For a conversion, you could get away with just writing $5,000 on the Application form and you wont need to do an Owner-Builder's Course (+white card: 1 day course).

    As an Owner-Builder, you cannot buy NSW Home-Owner Warranty; this is only available for work done by aprinciple contractor (licensed builder). So imho there's no real win to buying insurances if it's just a conversion from garage to granny flat.

    Assuming each tradie is licensed, your covered under consumer insurances through the Dept. of Fair Trading anyway.

    Save yer $$ and spend it on quality inclusions imho.

    Brazen.
     
  9. Rockstar

    Rockstar Member

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    Sorry to say this is incorrect mate. I have just done it twice in several months.

     
  10. brazen

    brazen Member

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    hmm ok- I was under the impression that, well wrong am I. Thanks for the info Rockstar