Structural Warranty: Everything you need to know

Structural Warranty. What is it? When do you need it? What does it cover?

A structural warranty is, in its simplest terms, insurance for the structure of your new home that lasts around 10 years, depending on policy and provider. A home will only hold a structural warranty if, during its construction, it is regularly inspected by surveyors and meets the technical standards of the structural warranty provider. Homeowners are protected if defects to the property’s structure occur, which could be due to defective workmanship or issues with construction materials. Structural warranty is so crucial, as these defects may not be initially evident or visible to the naked eye, so it can be difficult for homeowners to budget for. 

Generally, a structural warranty is split into two periods of time. These are:

• Defects Insurance Period

Normally the first two years of a policy, the defects insurance period, is the time in which the developer is responsible for rectifying any defects (which are deemed to be a failure to comply with the provider’s standards). It’s important to remember to report any defects you notice to your developer as quickly as you can after noticing them and keep copies of any correspondence sent as good practice.

• Structural Insurance Period

Generally this is the eight years after the Defects Insurance Period in which your structural warranty provider will be responsible for dealing directly with valid claims. During this period you should report any defects directly to your provider. As long as the defect is valid, the provider should then organise any necessary repair work, or pay for such repairs.

You can also be covered before the completion of a new home, if the developer fails to start or complete the project due to fraud or insolvency. Under these circumstances, make sure you get in touch with our claims team who will be on hand to support you with your claim.

When is a structural warranty required? 

If you’re a homeowner getting started on your building project, you may be wondering if you need a structural warranty. As the costs start to pile up, it can be tempting to push structural warranty down the list of priorities, but it’s crucial to consider the issues doing this could spark down the line. It’s recommended to secure a structural warranty before construction of the new home begins, as it will protect the homeowner if structural damage occurs during the first 10 years after completion. 

Building an extension or conservatory? A warranty may not be required, but you will need to comply with building regulations and gain the necessary approvals. 

How do you make a claim? 

In the unfortunate event that a defect emerges in your home, you can make a claim online. Depending on whether you’re in the Defects Insurance Period or Structural Insurance Period, the process to follow is slightly different. 



With LABC structural warranty, you can access our online portal which includes guidance on making a claim. It’s also a central hub to manage all claims actions in one place, making the process as smooth as possible. 

The importance of structural warranty 

For most people, your home is one of the most significant investments you can make. It makes sense to protect that investment, ensuring your home remains safe and structurally sound. Structural warranties protect you against defects that may not be immediately apparent, meaning if defects do emerge, a structural warranty could minimise the associated financial impact. 

In addition to this, most banks and lenders will require a structural warranty before offering a mortgage agreement on a property. Investing in a structural warranty will also help you sell the property down the line. 

How does it differ from building and contents insurance?

Both structural warranty and home insurance are important aspects of enjoying home ownership with more peace of mind. However, some key differences between them are important to consider. 

Typically, home insurance is made up of building and contents insurance and can offer coverage if faced with events like vandalism, theft, or a natural disaster. Buildings insurance applies to the building itself and is often a minimum requirement for a mortgage agreement. Contents insurance is optional and applies to your belongings, offering cover for valuables such as furniture and electrical appliances. 

Structural warranty is different from building and contents insurance. It provides cover for major defects to a property’s structure, which could result in damage to your home. As it covers a period of 10 years from build completion, it protects you from issues that may emerge over time. 

What is covered by your structural warranty?

Several core components make up a structural warranty. It covers structural problems in the construction process, as opposed to damage from external factors such as adverse weather or natural disasters like fires, floods, or storms. 

The structural warranty often includes defects insurance for the first two years. This protects against non-compliant failures in design or workmanship and may include non-structural issues. After the defects insurance period expires, a structural warranty offers coverage against structural issues, making up the main part of the policy. Finally, if the property developer were to become insolvent during the building process, deposit protection as part of your structural warranty would mean you are protected. 

Who can support you with defects? 

If you’re faced with a property defect, determining who to contact for support will be a key step on your to-do list. The course of action to take often depends on the type of issue and when it occurs. 

• Developer Warranty Period (DWP) – During the first (Social Housing) or second years of your warranty, defects will likely be covered by the DWP. This means the developer will generally repair the defects for you.
• Structural Insurance Period (SIP) – During the later years of the warranty (after the first two) your warranty provider should repair defects for you.
• Household Insurance (HI) – Sometimes damage has nothing to do with the structure of the building or the developer. Weather damage for example, or accidental damage, is likely to be covered by your household insurance.
• General Maintenance (GM) – Minor blemishes or chips are generally a pretty normal sign of wear and tear and are unlikely to be covered by any insurance. They are generally easy to take care of with regular maintenance.
  
  

What are the benefits of LABC structural warranty? 

LABC structural warranty provides full support for your structural warranty needs. Working in partnership with Local Authority Building Control (LABC) means we can offer the combined technical expertise of nearly 4,000 surveyors. We strive to limit the potential for problems to occur, ensuring quality and providing peace of mind that your property has been constructed with the utmost care. But in the unlikely event of a defect, we have the experience and backing of ‘A’ rated insurers to help put it right. 

Extensive experience 

We’re proud to be one of the largest providers of structural warranty cover for new homes in the UK, providing trusted risk management services. Established in 2007, we’ve since covered £23 billion worth of reconstruction. Since 2017, we’ve completed over 105,000 homes and commercial buildings, providing tailored cover.

We use our extensive experience to fully support home builders and homeowners alike. We have a range of resources created to help homeowners feel confident in their new homes.

Voted number 1 for technical support

In independent research, we were voted number one for technical support in the structural warranty market. When you choose LABC, you’ll have our technical expertise and support from our risk management surveyors on your side. 

Widely accepted by leading banks and lenders

We’re proud to be recognised by the Council of Mortgage Lenders (CML). Our cover is widely accepted by the leading banks and lenders, supporting homeowners in securing the mortgages they need.

‘A’ rated insurers

LABC structural warranty schemes are backed by trusted ‘A’ rated insurers. Reputable ‘A’ rated insurers are less likely to face financial troubles and have demonstrated their ability to pay claims reliably. This is crucial, as you can be sure an ‘A’ rated insurer will have the financial stability and expertise to manage claims and provide the cover you need, when you need it. 

If an insurer doesn’t have a financial rating, this means that an independent evaluation of their finances hasn't taken place. You may have less confidence in their ability to support you with a claim, which could spell disaster if unexpected defects arise.

Who are our ‘A’ rated insurers? 

All LABC structural warranty policies are underwritten by ‘A’ rated insurers, providing a high level of certainty in their ability to meet the costs of valid claims. 

• With over 150 years of technical risk experience, we’re proud to work with global provider, HSB. With an A++ (Superior) rating by A.M. Best Company, they’re highly regarded as a leading specialist provider of inspection services and engineering and technology insurance.
• Operating in 59 countries, AXA is one of the world’s biggest insurers. Holding a credit rating of ‘A’ with AM Best, they’re a trusted insurer in helping people protect their possessions, homes, and money.

For details of what is covered by any insurance you should refer to your policy and certificate of insurance.

If, having read the above, you believe you may have an issue that should be considered by LABC Warranty then you can find information on making a claim here.