When is QBCC Home Warranty Insurance Required?

Mandatory Insurance Requirements

In Queensland, QBCC Home Warranty Insurance is legally required for most residential construction work valued at $3,300 or more (including GST). This insurance is designed to protect homeowners against financial loss if a builder fails to complete the work or if defects emerge after completion.

Types of Work Requiring Insurance

New Home Construction

All new home construction requires QBCC Home Warranty Insurance, regardless of whether it's:

• A detached house
• A duplex
• A townhouse (individual title)

Renovations and Extensions

Insurance is required for renovations and extensions valued at $3,300 or more that involve:

• Structural alterations
• Adding new rooms
• Major kitchen or bathroom renovations
• Building a deck or patio attached to the house

Other Residential Construction

Insurance is also required for:

• Swimming pool construction (valued at $3,300 or more)
• Retaining walls (when part of a residential construction project)
• Relocating or raising a house

Exemptions: When Insurance is NOT Required

Multi-Unit Developments

Insurance is generally not required for:

• High-rise apartment buildings
• Buildings with more than three residential units attached

Commercial Construction

Insurance is not required for:

• Office buildings
• Retail shops
• Industrial buildings

Minor Works

Insurance is not required for:

• Work valued under $3,300
• Painting (interior or exterior)
• Landscaping (unless it includes structural retaining walls)
• Fencing (standalone projects)

Owner-Builder Considerations

If you're acting as an owner-builder:

• You don't need to take out QBCC insurance for your own project
• However, if you sell the property within 6 years, you must provide QBCC Owner-Builder warranty insurance to the buyer

Checking Insurance Coverage

Before starting any residential construction work:

1. Verify that your builder is appropriately licensed for the work
2. Ensure that QBCC insurance has been taken out for your project
3. Request a copy of the Certificate of Insurance

For more information on whether your specific project requires insurance, use our QBCC Premium Calculator or contact QBCC directly.