Home Building Compensation Fund HBCF insurance.

HBCF insurance, also known as home warranty insurance, is important for homeowners considering renovation for several reasons, check out a few listed below 👇 :

1. Protection Against Defective or Incomplete Work

HBCF insurance provides a financial safety net in case your builder doesn’t complete the work or if there are major defects after handover. This is especially important for outdoor living areas where waterproofing, structural integrity, and electrical elements, such as lighting or motors, must be accurate.

2. Builder Insolvency, Death, or Disappearance

In the rare case that your builder becomes insolvent, passes away, or simply disappears mid-project, HBCF covers the cost of completing or rectifying the work. It ensures you’re not left in limbo.

3. Legal Requirement for Residential Projects Over $20,000

In NSW, builders must obtain HBCF insurance before accepting any payment or starting residential work valued over $20,000. This includes pergolas, patio roofs, decks, and other outdoor renovations. At GMC, we handle this process for our clients as part of our professional project management.

4. Peace of Mind for Homeowners

Whether your project is $18K or $180K, HBCF gives you the reassurance that you're protected long after the work is complete. It's your safety net if anything unexpected happens.

5. Boosts Resale Value

If you sell your home within the HBCF insurance period (typically 6 years), the policy can be transferred to the new owner. This adds real value and confidence during the sale process—something future buyers will appreciate.

Final Tip:
Before starting your renovation, ask your builder about HBCF insurance. At GMC Home Improvements, we ensure all residential projects that require insurance are fully compliant, allowing you to enjoy your new outdoor space.

Have questions about your upcoming project? Get in touch with us—we’re here to help.