ASUC guarantees improve on the usual insolvency guarantees because they are a direct contract between the underwriting insurance company and the ultimate client, and therefore not dependent upon the trading company still if a claim is made.
ASUC now has three forms of insurance warranties. These differ from insurance-backed warranties which only apply if the operating company has ceased to trade and there is still the need to prove negligence. The ASUC suite of three warranties are latent defects insurance each with a unique place in the market, and there is no need to prove negligence.
THE DIG – Defects Insurance Guarantee – applies to underpinning, mini piling and foundation works it is for remedial works principally but can be used for new foundations as well if required.
THE BIG – Basement Insurance Guarantee – applies to domestic retro-fit basements.
THE FIG – Foundation Insurance Guarantee – applies to engineered foundation solutions.
These three guarantees are:
- Only available through ASUC contractors
- One-off latent defects insurance policy which can guarantee all the works carried out under the contract
- Issued direct to the client and a positive asset when selling a property
- Indemnity policies
- Remains in force even if the issuing company fails
- Up to 25% of contract sum is insured for consequential losses
- Alternative accommodation is covered for up to 26 weeks
- Contract sum is index-linked
- Can be passed to any subsequent owner of the property
- Available on domestic and commercial property
In the case of the DIG (defects insurance) further benefits are:
- 12 year term
In the case of the BIG (basements insurance) further benefits are:
- 10 year term
- can include waterproofing if that section of the policy has been intercepted
In the case of the FIG (foundations insurance) further benefits are:
- 2 year term (can be up to four years)
- intended to dovetail with NHBC/Premier/LABC and other new home warranties that commence two years after completion
As with all insurance cover – read the policy document for full details