New Zealand Certified Builders Chief Executive Malcolm Fleming says the industry has been preparing for these changes for some time, following the Government’s [prior]announcement that it would be moving toward a proportionate liability system in 2027.
“New Zealand can now avoid repeating past failures in consumer protection by ensuring every homeowner is covered from day one. This is an important but very necessary decision. It’s now up to us to deliver on it.
“The good news is we’re ready,” says Fleming. “The systems, guarantees, and expertise already exist — now it’s about making sure builders and homeowners understand how these protections work, and which options offer the strongest long-term security.
“The best way for homeowners to protect their investment is to use a certified, trade-qualified builder who is backed by a guarantee.
“With Councils and ratepayers no longer saddled as the ‘payer of last resort’, homeowners will need to protect their investment,” he says
“Mandatory home warranties mean all homeowners are required to secure protection before new build work commences. It also sets the standard for who can operate in the market.
“Now the responsibility sits squarely with builders and the protection products they use, and we’re well-placed to implement this change and educate homeowners on the best options available to them.
“Products like NZCB’s Halo 10-Year Residential Guarantee show what strong protection can look like: affordable, comprehensive, and backed by an industry association.
Fleming reckons guarantees work well because they are attached to the build project, not the builder. “If a builder goes into liquidation or won’t complete the work, another builder can step in.
“This means homeowners have options to get the work completed, to a high standard, without being forced into a sometimes adversarial process of financial redress, says Fleming.
