What's covered?

DBI covers homeowners for loss or damages resulting from incomplete or defective works when the builder has:

  • died, disappeared or become insolvent; or
  • failed to comply with a Tribunal or Court Order where DBI was issued by VMIA on or after 1 July 2015
Cover starts on the date of the building contract, or the date of the building permit, whichever is earlier.

We cover your building project for

Incomplete works

  • Up to 20% of the building contract price including agreed variations.

Non-structural defects

  • For two years after the completion of work or termination of the building contract.

Examples include but not limited to:

  • Painting
  • Blocked/broken pipes
  • Brickwork
  • Internal doors
  • Joinery

Structural defects

  • For six years after the completion of work or termination of the building contract.

Examples include but not limited to:

  • Foundations
  • Floors
  • Roofs
  • External walls and internal load bearing walls
  • Columns
  • Beams
  • Leaking balconies

Other Losses

Such as:

  • Accommodation
  • Removal and storage

Policy limits

Homeowners are covered for up to $200,000 on policies issued before 1 July 2014, and $300,000 on policies issued on or after 1 July 2014. This is inclusive of all defective, incomplete and other losses claims.

For more details on what DBI does and doesn’t cover see what am I covered for? [PDF, 165KB]

To fully understand your domestic building insurance limitations and exclusions refer to your policy