What is a BSA Insurance Confirmation Statement?
For contracts for residential construction work over $3,300 in value, BSA’s Statutory Insurance Scheme provides up to $400,000 cover for 6 ½ years if a licensed contractor performs the work. The builder pays a premium directly to the Building Services Authority and must provide a copy of the Insurance Confirmation Statement to the Building Certifier before a Building Permit can be issued. The cover provided by the insurance scheme assists consumers if: • The builder becomes bankrupt; • The builder fails to complete the contracted works for reasons that are not the consumer’s fault; • The builder fails to complete the contracted works and those works are found to be defective; • The builder fails to fix defects that have been the subject of a BSA direction; or • The builder suffers from the effects of subsidence or settlement.
