NHIC SPRING 2003/ GUARANTEES
What price peace of mind?
According to Trading Standards' statistics over a quarter of the
UK population has used home improvement services. The sad fact
is that in excess of 90,000 formal complaints against builders
and tradesmen were registered in one year alone.
So it's small wonder that many people are reluctant to call in
an outsider to work in their home! But never fear there is peace
of mind for everyone through Insurance Backed Guarantees (IBGs).
IBGs mean that homeowners who use trade professionals who operate
within a particular scheme they can have full confidence in their
choice of workman. And the guarantee is as applicable to a modest
plumbing or decorating job costing just a few hundred pounds as
it is to a major home extension costing thousands.
IBGs generally offer three differing levels of assurance. Those
which cover materials and all completed workmanship and work in
progress up to ten years. Those offering the same criteria as
the previous level but also including deposit cover for up to
25% of the contract value. And, most comprehensive of all, those
which include index-linked cover to ensure future value is protected.
In fact big names such as British Gas are now partnering with
HomePro (both members of the National Home Improvement Council)
to provide IBGs and there is a large list of nation wide contractors
on www.house.co.uk who are all highly reliable and competent companies
and individuals involved in home improvement and renovation. Or
you can link to it through the NHIC's website www.nhic.org.uk.
Basic IBGs cover the work carried out under the guarantee, including
labour and materials. If a company or individual ceases trading,
the insurance covers the cost of completing the project so you
are not left out of pocket. When a project is completed you just
fill in a job satisfaction slip and the insurance certificate
is issued.
Inflation-proof comprehensive policies not only cover everything
but also protect the future value of a householder's investment.
In a nutshell, the maximum amount you can claim increases each
year throughout the policy life.
So while there are 'cowboy customers' wanting quick fixes on the
cheap, the 'cowboy' builders and tradesmen may never go away!
But there are reliable opportunities via reputable IBG providers
to instil confidence that you can always get a good job at a fair
price through true trades professionals.
Further information: Graham Ponting, NHIC. Tel 020 7828 8230
FEB 2003