Owner builder insurance
Complete your owner builder construction project with confidence that you’re covered should the unexpected occur.
Australia’s trusted owner builder insurance brokers
If you are considering a new home, home extension or renovation project and want to manage the whole thing yourself, you will be liable for any perils during construction.
You cannot rely on, and will not be covered by, the range of contractors you engage to do the building work, and if something goes wrong midway through, you may find yourself at a major financial disadvantage.
At Ian Jones, we can help you secure the right owner builder insurance policy for your financial situation. Let’s safeguard your investment from key risks for a successful owner builder project.
What do owner builder insurance policies cover?
Construction insurance for an owner builder covers unforeseen events during the build, such as storms, fire, malicious damage, and impact, along with public liability and theft of materials and tools.
If you are undertaking an extension or renovation, you will find that your existing building insurer will not cover the construction work and may even void the cover on the property.
Depending on the scope of work, the existing building insurer and its insurance, you may need to cover damage to existing structures under a new construction insurance policy. Our owner builder insurance brokers can guide you through every step to ensure complete confidence in the face of the unknown.
Frequently asked questions
An owner builder is a property owner who chooses to manage and carry out building or renovation work on their own home without hiring a licensed builder under a full building contract.
With owner builder construction, you effectively step into the role of the builder, taking legal responsibility for the project.
This includes organising and supervising subcontractors, ensuring work meets building standards, and in some cases completing parts of the construction yourself.
In most cases, yes. Owner builders are legally responsible for the safety of anyone on their construction site, including subcontractors, trades, delivery drivers, visitors and members of the public. If someone is injured or property is damaged, liability can fall directly on you as the owner builder.
Insurance helps protect you from potentially significant legal and financial risks. Requirements differ between states and territories, and the level of risk varies depending on the project value, size and complexity of your project.
Yes. In all Australian states and territories, owner builder insurance is required once a project exceeds a set value threshold, depending on the jurisdiction.
You should always check the exact requirements with your state or territory regulator before starting work, as non-compliance can delay or stop your project:
Yes. In most Australian states and territories, an owner builder must have a permit or Certificate of Consent before obtaining owner builder insurance if the project exceeds the relevant value threshold.
The permit is a legal requirement, and insurers will usually ask for proof of approval or a lodged application before issuing cover. Without it, insurance is often declined or restricted.
To become an owner builder, you need to apply through your state building authority and complete any required training. Once approved, you can arrange insurance knowing your project is compliant and properly covered.
Without owner builder insurance, you may be unable to obtain permits, council approvals or an owner builder certificate.
More importantly, you may be found legally liable for injuries, property damage or legal claims arising from construction activities.
In serious cases, costs can include medical expenses, legal fees, compensation payouts and repair costs, which can quickly become financially overwhelming without insurance in place.
Owner builder insurance generally covers your legal liability for incidents that occur during construction, including those involving subcontractors.
However, subcontractors and registered builders are still required to hold their own public liability insurance and, where applicable, workers’ compensation cover.
Insurance for owner builders does not replace a subcontractor’s legal obligation to be properly insured.
Public liability insurance refers to third party claims for personal injury or property damage caused by your building project. It can include injuries to visitors, neighbours or members of the public, as well as damage to surrounding property.
A public liability insurance policy typically covers legal costs and any compensation payable if you are found legally responsible.
Owner builder insurance usually includes public liability cover for accidental injuries to others, but personal accident and injury cover for the owner builder is treated separately.
Public liability protects you against claims from third parties, while personal accident cover is designed to protect you if you are injured on-site and unable to work.
Personal accident cover is often optional and may provide a lump sum or weekly benefit, depending on the policy.
In most Australian states and territories, owner builder insurance must be in place before construction begins and often before plans are formally approved by a surveyor or council. Some authorities require proof of insurance as part of the approval process.
As requirements vary, it’s important to confirm the timing and documentation needed in your area to avoid project delays.
The cost of owner builder insurance depends on several factors, including the total construction value, the type and scope of work, construction period, and sometimes the project site’s location.
Premiums are usually arranged through a fully licensed insurance broker, like Ian Jones, as opposed to directly with an insurer.
Our team will help ensure your project is accurately assessed, the right cover is put in place, and potential gaps or application issues are avoided, saving you time and risk throughout the building process.