Do I need domestic building insurance in Victoria?
Researched by the LokalMatch editorial team1 answer
The builder mentioned an insurance certificate for our extension and I do not know whether it is something I arrange or he does.
Answers (1)
LokalMatch EditorialLokalMatch editorial
He does, on works over 16,000 dollars. Domestic building insurance is taken out by the builder for the client, and the trigger is the value of the work rather than anything about you.
What it responds to is narrow and specific. The policy protects you if the builder dies, becomes insolvent or disappears before the work is complete. In every other case, as Consumer Affairs Victoria puts it plainly, it is up to the builder to fix or complete the work — the insurance is not a general warranty you can claim on because you are unhappy.
The cover runs to 300,000 dollars, for six years on structural defects and two years on non-structural ones.
Ask for the certificate for your job by name and address, and keep it with the contract. It is one page, it costs you nothing to obtain, and it is the page that matters on the day the phone stops being answered.
Answers come from pros and are reviewed by LokalMatch before they’re published. They’re general information — for regulated or safety-critical work, have a licensed professional assess your situation.
Sources
Where the facts on this page come from.
Domestic building insurance — Consumer Affairs Victoria (accessed 24 September 2026)