LA Insurance

Latent Defects Insurance

Essential insurance coverage for construction projects.

Latent Defects Insurance

LA insurance, your trusted partners for your construction projects

Latent defects insurance is a policy that covers the physical loss or damage to new building projects. It is a protection placed on the property for 10 years from the date of the occupancy certificate and must be obtained before the commencement of construction.

One of the most significant threats that comes with a new property is the presence of latent defects – faults or flaws hidden within the structure of a building that may not become apparent until years after construction. These defects can lead to costly repairs, legal disputes and even compromise the structural integrity of the property.

At LA Insurance we specialise in finding tailored latent defect insurance designed specifically for property developers and builders. Coverage extends to a wide range of structural faults, faulty materials and workmanship issues that may emerge post-construction, ensuring that your projects remain protected and secure.

Key features and coverage

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Structural defects coverage

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Faulty materials and workmanship

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Legal expenses

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Post completion

Why should you get latent defects insurance?

By securing latent defects insurance, individuals and businesses can ensure that they are financially protected against the high costs of repairing or remedying hidden defects that could compromise the integrity and safety of their properties.

It serves as a proactive risk management tool that helps mitigate uncertainties and ensures a smoother and more secure construction and property ownership experience. 

Latent defects insurance FAQs

Latent defects insurance is a type of coverage that protects property owners, developers, and builders against unforeseen structural issues, faults, or defects that may not be immediately apparent but can emerge after construction.

Latent defects insurance typically covers structural defects, faulty materials, workmanship issues, legal expenses related to disputes, and post-completion coverage for defects that arise after the construction phase. 

It’s advisable to obtain latent defects insurance before starting construction or purchasing a property. However, coverage can also be obtained for existing structures or ongoing projects to address latent defect risks.

Latent defects insurance typically provides coverage for a specified period after the completion of the project, commonly ranging from 5 to 10 years. The exact duration of coverage can vary depending on the policy terms and conditions.