1 minute read

Property owner fined after home indemnity insurance mix-up

Property owner fined after home indemnity insurance mix-up

by Emma Ryan | November 13, 2019 | 1 minute read

A Perth property owner has been fined $2,400 for selling his house without the necessary indemnity insurance, sparking warning to other home owners.

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November 13, 2019

Jonathon Robert Reardon appeared at Joondalup Magistrates Court on 1 November, where he pleaded guilty to an offence under WA’s home building contract laws following a prosecution by Building and Energy.

“The court was told that in 2013, Mr Reardon received owner-builder approval and a building permit for the construction of a two-storey home in Yanchep, which was completed the following year,” a statement from WA’s building regulator, Building and Energy, said.

“In 2016, Mr Reardon entered into a contract to sell the property but did not have a home indemnity insurance policy, which is required if an owner-builder sells the house within seven years of the building permit issue date.”

Commenting further, Building and Energy executive director Saj Abdoolakhan said the laws were designed to protect new owners from building defects.


“Owner-builders are responsible for their building work for seven years from when the building permit is granted,” he explained.

“Home indemnity insurance covers subsequent owners if the owner-builder fails to rectify faulty or unsatisfactory workmanship for reasons such as insolvency, death or disappearance.”

About the author

Emma Ryan

Emma Ryan

Emma Ryan is the deputy head of content at Momentum Media.

Emma has worked for Momentum Media since 2015, and has since been responsible for breaking some of the biggest stories in corporate Australia, including across the legal, mortgages, real estate and wealth industries. In addition, Emma has launched several additional sub-brands and events, driven by a passion to deliver quality and timely content to audiences through multiple platforms.

Email Emma on: [email protected]com.au

Property owner fined after home indemnity insurance mix-up
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