The Productivity Commission calls it a “running sore” while "CHOICE" calls them junk policies making a mockery of consumer protection.

Builders on the other hand can’t believe our industry has suffered so dramatically at the hands of such blatant incompetence over the issue of consumer protection and industry management. (But we allowed it to happen)

This “Stateline” segment says it all:

            http://www.abc.net.au/news/video/2010/04/09/2869082.htm

“We were advised by two very senior insurance brokers HIA & MBAV that unless we pulled our heads in, so to speak, that our chances of getting insurance for this year was gonna be compromised”

Intimidation on this level in the Australian building industry.   YES, you had better believe it!  

Senator Christine Milne in support of the Australian domestic building industry put forward this motion to be debated in the Senate on the next sitting day

THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA
JOURNALS OF THE SENATE
THURSDAY, 25 FEBRUARY 2010

 Notice of motion: Senator Milne: To move on the next day of sitting—That the Senate—

      (a) notes:

 (i) the Federal Government’s aim to implement through the Council of Australian Governments a seamless economy,

 (ii) that the Australian building industry is facing a crisis because of the impending withdrawal of four insurers from the home builders warranty insurance market and the requirement by all state governments, except Tasmania, that this insurance be mandatory,

 (iii) that the remaining insurers are unlikely to be able to meet the market demand post the end of the 2009-10 financial year with the result that many builders will be forced out of business or forced to work illegally,

 iv) the failure of the New South Wales, Victorian, South Australian, and Western Australian state governments to address the ongoing performance problems with this insurance product in spite of 56 inquiries and failed interventions, and

 (v) the need for nationally consistent laws that protect consumers and builders alike; and

       (b) calls on the Government to:

               (i) immediately intervene with the states to remove the mandatory requirement for this insurance product as a short-term measure,
                   and
               (ii) facilitate the development of a national regime that gives genuine protection to consumers and the building industry.

Standing Committee on Finance & Public Administration

Inquiry into Builders Warranty Insurance

Public Consultation

The Committee has received the following written submissions to the inquiry.

The first public hearings will commence on the 15th March 2010 and continue on the 8th April 2010

If you have had building problems, you now have an opportunity to make your voice heard and help change the system. The Victorian Inquiry into Builders Warranty Insurance (Home Warranty Insurance) will be held early in 2010. Please contact the Consumers Collective for more information. Submissions need to be in soon, so make contact immediately to make sure your views are considered. You can help make a difference and contribute to improving protection for consumers who build or renovate houses.

If
you wish you can telephone Anne on  0401 226 048  or you can send an email to This e-mail address is being protected from spambots. You need JavaScript enabled to view it