27.06.2019

Governments urged to act on Building Surveyors Insurance crisis

Members would be aware this week that there has been numerous articles around the future sustainability of the building surveyor profession around Australia due to availability of professional indemnity insurance.

Further updates can be read from the Insurance Broking Body and a detailed Communique from AIBS.

Victorian Premier Daniel Andrews is aware of the insurance problem, telling a Property Council lunch that the state had stepped in as an insurer of last resort in the past for other sectors.

“I am very much aware of how real this issue becomes next week, I’ve had some conversations with ministerial colleagues this morning about this very matter,” Mr Andrews said.

The problem, he said, was not unique to Victoria.

“We won’t leave anybody stranded, we won’t leave anybody with crippling restrictions on their practice.”

BDAV would like to assure members, that at this stage, and likely into the future, there will be no real effect on building designers from their own insurance point of view. Obviously if other professionals fail to obtain adequate insurance they may have some issues around who they are able to collaborate with.

With the building designer insurance program due to expire in September 2019, Webber Insurance see no adverse effects coming on the horizons. From last year, there were less than a handful of building designers in Victoria (and the rest of the country) that had any exposure at all to cladding. Claims have been minimal across the whole portfolio. There may be some slight increases in premium however this would be more like 10% rather than anything higher. Webber Insurance will work with the insurer to ensure the policy remains as comprehensive and cost competitive as possible.