7 December 2022

Why A Rated matters for new home Warranties

By Build Zone
When you build a new property, it’s crucial you ensure it has a New Home Warranty in place so you can sell it easily and protect the buyer. But with a range of warranty providers in the market, how do you know who to choose? It’s simple – always go for an ‘A’ Rated provider, or you risk choosing an unstable company that could leave you uninsured.

What is a New Home Warranty?

A New Home Warranty is a 10-year structural warranty that protects the new works of a new build, renovation, conversion, or extension against the costs that will be incurred if a property presents structural issues caused by design, workmanship, or materials within the first 10 years. Homeowners benefit from this cover as they can enjoy their new build without the worry of paying avoidable expenses for any potential issues that may occur with the property’s structure.

Why is a New Home Warranty needed?

A Structural Warranty is a lender requirement in the UK, meaning any builders or developers who are selling their new builds, once completed, will need a New Home Warranty in place. The Build-Zone New Home Warranty is available on new builds, conversion projects and mixed-use developments and is accepted by the majority of lenders in the UK.

Newly-built properties need to be protected against structural defects that may arise caused by defects in design, workmanship or materials. Structural issues can cost hundreds of thousands of pounds and often take many years to appear. This is why you need a New Home Warranty from a provider that has proven itself in the market with ‘A’ rated backing. Build-Zone has been providing structural warranties since 2003 and only uses ‘A’ rated insurers, so you have peace of mind.

Although a New Home Warranty isn’t required by law, most mortgage lenders consider this type of cover on the build mandatory when they consider lending to potential homeowners, meaning they won’t provide a mortgage until a New Home Warranty has been acquired by the developer.

As an established structural warranty insurance provider, Build-Zone is experienced in underwriting Warranties for all types of developments, from a single-unit private dwelling house to some of the largest residential, mixed use and commercial properties in the country.

At Build-Zone, we only use A-Rated Insurers, which gives you the comfort you are buying a product with the long-term financial security you require. Why is your choice of insurer so important? Several unrated Insurers have gone into liquidation in the last few years, leaving their policyholders without cover.As a result, many homeowners have been left without a valid Warranty and, in turn, breach their mortgage terms. Build-Zone only uses financially secure A-Rated Insurers, giving you that extra security that your property has the best protection.

The Build-Zone New Home Warranty is approved by the majority of Lenders in the UK and recognised industry-wide. Buying a property can be a stressful process but rest assured, with our structural warranty, your new home has the best protection possible leaving you free to start unpacking all those boxes!

If your house builder or developer purchased a Build-Zone Structural Warranty to protect your new home, you will have been provided with the following:

1. Your Certificate and Policy Wording

2. Insurance Product Information Document (IPID)

3. The Build-Zone Consumer Code for Home Builders

When you complete on your house purchase, the new owner Warranty is automatically transferred to you.

Build-Zone offers a range of Structural Warranty options

Generally, each Warranty is effective for 10 or 12 Years from the Date of Practical Completion. Please be aware that general snagging issues are not covered under the Warranty. Please see your Policy Wording for full details of your cover.

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