Elise Archer,Minister for Workplace Safety and Consumer Affairs
The Tasmanian Government will develop a financial support package to assist those negatively affected by the recent failure of Tasmanian Constructions Pty Ltd, trading as Hotondo Homes, and Inside Out Constructions Pty Ltd.
We recognise that buying or building a home is the biggest investment many families will make, and we have already taken action to support consumers by announcing our intention to reintroduce home warranty insurance in Tasmania.
Home warranty insurance covers incomplete or defective building work in the event that a builder has died, disappears or becomes insolvent, and a is currently being developed by the Department of Justice and Department of Treasury and Finance. This model will be the subject of consultation with stakeholders in the coming months.
Once implemented, home warranty insurance will provide Tasmanian property owners with greater protection when building a home.
However, we recognise that more needs to be done to help those affected by the recent failures, and it is our intention that the financial support package will operate similarly to home warranty insurance, if it was already in place.