Hidden defects in a new construction or renovation project often don’t become apparent until after the project is finished. This can lead to heated disputes between the construction owner and the construction company. Construction guarantee insurance from AXA protects both parties.
Construction guarantee insurance (e.g. “work guarantees”) means that AXA stands surety for claims made during the warranty period of five years in the event that the contract was not properly fulfilled. If the construction companies involved are no longer able to rectify the damage caused (due to bankruptcy, for example) or they refuse to rectify the damage, AXA will assume the costs incurred. This gives you optimum protection for your construction project even after work has been completed.
Construction guarantee insurance is important for construction owners and construction companies that construct new properties or renovate existing properties and want to protect themselves against any claims arising from hidden construction defects.
A construction guarantee or work guarantee is taken out for the entire construction project and provides security for the construction owner as well as for everyone else involved in the construction.