Existing domestic building insurance, DBI, policies continue under their original terms. They do not automatically transfer to Home Warranty. The date and cover documents for the project matter.
Which projects are within the general scope?
BPC’s builder guidance says Home Warranty generally applies to new eligible domestic building work worth more than $20,000 and homes or residential buildings up to three storeys. For work under a domestic building contract, the new scheme applies to eligible contracts entered into from 1 July 2026.
For eligible projects, builders must pay the premium before the earlier of 10 business days after entering the major domestic building contract or the eligible work starting. BPC issues the homeowner a Notice of Cover when it accepts payment. Check the current premium requirements rather than treating the threshold as automatic cover.
Registration must authorise the work
The builder’s registration must cover the work being contracted. An individual registration, company registration or limited class cannot be substituted for another arrangement merely because a registration number exists.
If a company signs the contract, check its registration and the relevant director’s registration together. Read company and individual registration requirements if you are changing the entity that contracts.
Exclusions and terms still apply
Home Warranty is not insurance for every construction project. Non-domestic building work, work outside Victoria, work by a builder whose registration does not authorise it, and construction of residential apartment buildings above the scheme’s storey scope are outside the general cover. Other prescribed work and claim exclusions can apply.
Projects at the threshold, unusual building types, owner-builder arrangements and changes to earlier contracts need their own check. Ask BPC or the relevant insurance provider which scheme and terms apply to the specific project.
What has changed for homeowners?
Consumer Affairs Victoria describes Home Warranty as first-resort cover for incomplete, faulty or non-compliant domestic work. A claim may be available where the builder cannot or will not finish or rectify work after being asked.
The maximum available cover is $400,000, subject to limits and exclusions. This is not a promise of payment for every defect or contract. Check the Notice of Cover, current terms and claim instructions with BPC.
Keep the project records together
Before relying on cover, identify:
- The contract date, full domestic work scope and value.
- The building type and number of storeys.
- The registered entity named as builder and its authorised class.
- The applicable insurance scheme and premium arrangements.
- The Notice of Cover or existing DBI certificate for that property.
Keep the contract, registration details and cover documents with the permit and project records. If the notice is missing or the names differ, resolve it with BPC or the insurer rather than assuming another certificate covers the job.
Registration support and insurance advice
Builders Licence Success helps prepare Victorian registration applications. BPC assesses registration and administers the applicable scheme. BLS does not issue insurance or determine cover or claims.
For an insurance dispute, eligibility question or contract change, speak with BPC, the insurance provider or an appropriate legal adviser. For a registration application, BLS can help check the class and contracting entity before you lodge.
Preparing to contract domestic work under your own name or company? Start the next-step check for your registration application. Confirm project insurance and cover directly with BPC.