14 May 2025

What Does a Building/Structural Warranty Cover?

By Build Zone
New Build Structural Warranty

These insurance-backed policies provide financial protection and peace of mind; however, the details of what they cover, their duration, and their differences can sometimes be confusing.

What is a New Build Warranty or Structural Warranty?

A building warranty, also known as a structural warranty, new build warranty or latent defects insurance, is a type of insurance policy that protects property owners against the cost of repairing structural defects that arise following the completion of construction. These defects must be the result of poor workmanship, design flaws or the use of defective materials.

The policy is typically purchased before construction begins and becomes active upon practical completion of the building.

How Long Does a Building/Structural Warranty last?

Most structural warranties, especially those offered by Build-Zone, are valid for 10-12 years from the date of practical completion. This 10-12 year period is standard across the industry and is often a requirement for mortgage lenders and banks when financing new properties.

However, some types of warranty may be tailored to different timelines or extended coverage, particularly for large-scale commercial developments or complex custom builds.

  • Residential homes: 10-12 years standard
  • Commercial buildings: May be extended beyond 10-12 years or adjusted based on use and scale
  • Self-build or custom build homes: 10-12 years, tailored to non-commercial self-builders

What Does a New Home Warranty Cover?

A new home warranty, such as those offered by Build-Zone, typically includes:

  • Cover against structural defects in the foundations, walls, roofs, and load-bearing elements
  • Defects in workmanship, design or materials that lead to structural issues
  • Water ingress as a result of failed waterproofing
  • Protection during the building period (if applicable), often referred to as the “developer liability period” in the first two years.

The standard 10-year structural warranty from Build-Zone covers the following:

  1. Years 1–2: Developer Liability Period

During this period, the developer or builder is responsible for addressing any issues that arise from failing to meet the warranty standards.

  1. Years 3–10/12: Insurance Period

For the remaining eight years, the warranty functions as an insurance policy, directly covering structural defects without the need to pursue the builder.

Why Choose Build-Zone?

Build-Zone is a leading provider of structural warranties and latent defects insurance in the UK. Our policies are accepted by most major mortgage lenders and tailored for a range of sectors, including:

  • Residential housing
  • Commercial developments
  • Self and custom builds
  • Mixed-use projects
  • Build-to-rent projects

Each policy is underwritten by ‘A’ Rated insurers and supported by a decade of specialist underwriting experience.

A building or structural warranty is more than just a legal or financial requirement, it’s a safeguard for your investment and peace of mind. Whether you’re purchasing a newly built home, constructing a custom house or overseeing a large commercial development, understanding your warranty coverage ensures you’re protected against unexpected structural issues for up to 10 years.

Explore tailored structural warranty options here.

 

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