What is an NHBC warranty?
The NHBC, or the National House-Building Council, is the UK’s foremost independent warranty and insurance provider for new homes. It is also the leading standard-setting body for the homebuilding industry. The NHBC warranty is the most common new build warranty, covering 70-80% of the market share. It offers homeowners a 10-year builder warranty period from the date of the completion of their home. The NHBC warranty and insurance product for newly built or newly converted homes is called Buildmark. Currently, it covers around 1.5 million homes in the UK. To receive a Buildmark cover for new build homes, builders should register their development with NHBC and pay for Buildmark warranty and insurance cover on the new homes.Who is eligible for an NHBC warranty?
Any builder or developer of newly built or newly converted homes in the UK is eligible to apply. NHBC-registered developers can only sell homes with the Buildmark warranty and insurance cover. Building work should comply with NHBC standards. The Buildmark policy premium is paid in full by the builder and not by the homeowner.How many years does it cover?
The NHBC warranty and insurance secures your home for 10 years at different stages. These include pre-completion, builder warranty (0-2 years), and Section 3 of the policy (3-10 years).What are the benefits of an NHBC warranty?
For the homeowner, the NHBC warranty is a reliable assurance. It brings accountability, quality, and standards from the moment you put down the deposit. Buildmark offers pre-completion deposit protection after the exchange of contracts in the event of the builder becoming insolvent. A builder warranty for 2 years after legal completion ensures the builder is accountable for rectifying issues arising from the builder’s failure to meet NHBC Technical Requirements. If the builder fails to fulfil their obligations, NHBC may assist under its Resolution service. At the end of the builder warranty period (0-2 years), NHBC provides insurance cover until the policy expires (usually for 8 years). This period of the policy is called Section 3. It covers structural damage in a home caused by failure to comply with NHBC’s Technical Requirements.What does the NHBC warranty cover?
Pre-completion insurance protection secures the buyer from the exchange of contracts to legal completion. Builder warranty or Section 2 assures that the builder will repair defects that do not comply with NHBC’s Technical Requirements. Once the 8-year insurance cover or Section 3 begins, NHBC will cover the costs of repairing physical damage to your home caused by defects in specific parts of your home. Typically, the following components of the property get covered by Buildmark;- roof
- flues and chimneys
- external walls
- internal stairs
- glazing (double or triple glazing panes to outside windows and doors)
- foundation
What is not included in an NHBC warranty?
There are some components and aspects the NHBC is not responsible for and are excluded from the warranty. These are;- Items and incidents that belong to policies by other insurances, warranties, guarantee schemes, or compensation schemes.
- Gradual deterioration, wear and tear, neglect of the components of your home, and failure to undertake appropriate maintenance.
- Any alterations, modifications, or additions to the property carried out after NHBC’s final inspection. These include extensions, loft conversions, or any other works.
- Damage caused by fire, smoke, or severe weather conditions.
- Theft or accidental damage to your home is also excluded.