WA Government responds to questions regarding Home Indemnity Insurance (HII) and Nicheliving, including HII payouts, Builder Support Facility eligibility, and the status of unfinished homes. The government is opposing Nicheliving's appeal against deregistration and exploring options to support affected customers.

AnsweredQoN 2103Legislative Council
Asked
13 August 2024
Portfolio
Finance; Commerce; Women's Interests

QuestionView source ↗

I refer to Home Indemnity Insurance (HII), and I ask: (a) has the Government assessed whether each of the 230 or so unfinished Nicheliving homes will be able to be finished using the maximum $200,000 HII payout; (b) was Nicheliving eligible for support under the Builders Support Facility; (c) if no to (b), why not; (d) if yes to (a), what were the results; (e) if no to (a), what is the Government's plan to get these homes finished; (f) how many HII policies have been issued in the following years: (i) 2023-24; and (ii) 2024-25 (to date); (g) for each of the years in (f): (i) how many HII payout applications were received; (ii) how many payout applications were approved; and (iii) at what total cost per year; (h) what is the assessed future claims liability for the HII fund currently; (i) what is the balance of the HII fund currently; and (j) how many builders who have applied for support under the Builders Support Facility have: (i) had their applications declined; and (ii) have had their applications neither approved nor declined as of 12 August 2024?

AnswerView source ↗

Answered
17 September 2024
Responded by
Minister for Finance; Commerce; Women's Interests
Response time
9 days
(a)        Home Indemnity Insurance (HII) claims are made to and are assessed by QBE Insurance (Australia) Ltd (QBE). The State Government does not hold this information.
(b)-(d)  This question should be referred to the Treasurer.
(e)        On 30 July 2024, the Building Services Board (Board) refused Projex Management and Construction Pty Ltd’s (Nicheliving) application to renew its registration and a building contractor. The Board was not, amongst other things, satisfied that Nicheliving met the financial requirements for registration.
Nicheliving applied to the State Administrative Tribunal (SAT) for a review of the Board’s decision and to stay the effect the Borad’s decision while the review was underway.
The State Government and the Board opposed the stay application in the SAT and will continue to oppose Nicheliving’s appeal against its deregistration. The State Government is disappointed the appeal won’t be heard until November, despite government lawyers requesting an earlier hearing.
In the interim, the Government is looking at what options might be available to support customers and progressed stalled home builds.
The State Government will continue to support the Board through the review process and seek to have the matters brought to a conclusion as soon as reasonably possible so that homeowners have certainty with regard to their HII claims and / or in deciding to take any other action in relation to their contracts.
(f)          QBE has advised:
(i)   For the 2023-24 financial year, 18,517
(ii)  For the 2024-25 financial year to 22 August 2024, 3,174.
(g)          QBE has advised:
2023-24
2024-25 (to 22 August 2024)
(i)
566
235
(ii)
419
27
(iii)
$40,876,568
$362,728
(h)             $83.9 million (as at 31 May 2024).
(i)              $38.1 million (as at 26 August 2024).
(j)(i)-(ii)    This question should be referred to the Treasurer.

Explore WA Government Data

Search the full archive in the free dashboard, or query programmatically via API.

Explore more