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By Niamh Blomer
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Self building your home is currently a popular topic in Ireland with the rise of TV programmes and social media pages exploring how people are building their dream homes.
People are deciding to build their own home from ground up for various reasons including having the freedom to build to custom designed specifications, adding extra sustainability and eco-friendly features and it also allows you to build the house to a higher quality than a standard build home. Amidst the excitement of it all, it is vital to understand the importance of getting the correct insurance cover.
In this blog, we will discuss all you need to know about self-build insurance.
What is Self-Build Insurance?
Self Build Insurance in it's simplest form ensures you, your home and those working on the project are protected when constructing or renovating your property. It's specific cover that caters for the risks that go with self build projects, from constructing to renovating an existing property, that would not be fully covered with traditional home insurance. There is huge risk in not having the correct cover which can cause extreme financial damage in the event of an accident. Most importantly, it offers the project owner the peace of mind that there is protection both physically and financially in case something goes wrong.
Who Needs Self Build Insurance?
Individuals who are planning to construct their own home or undergo significant renovations through direct labour i.e. no main contractor involved will need to get self build insurance to protect against the risks involved with such a project particularly for the Employer’s Liability element as they will effectively be employing tradespeople directly and will be responsible if something was to happen and cause a claim.
What Does Self Build Insurance Usually Cover?
Typically, a self build insurance policy has 3 covers built into it:
- Public Liability – This covers any members of the public who may gain access or have access to the site which may result in an incident or accident.
- Employer’s Liability – This covers those you are employing to carry out the works on the property. As these policies relate to direct labour works the property owner is responsible for ensuring all tradespeople on site are covered in the event of an incident or accident.
- Property – This covers the property itself. Similar to home insurance, the structure of the property is covered up to the amount specified by the insured. Generally, this is the part your mortgage provider will want to ensure is accurate as they have a financial interest in the property should a claim arise i.e. fire, storm etc.
How is Self Build Insurance Different to a Home Insurance?
As mentioned above, there are similarities with the cover offered on both policies but the main difference is the employer’s liability aspect as the property owner is responsible for those employed on site and must have this cover in order to go down the route of direct labour, essentially they are an employer for the trades people.
How Can Arachas Help You?
We provide market-leading cover for all of your risks, backed by support from expert teams who understand the insurance needs of self-build projects. Trust us to look after your insurance, so you can get on with building your dream home.
To find out more about our Self Build insurance or to get a quote; call us on 01 213 5000, or email at [email protected].