According to the ACT City and Environment Directorate, Planning guidance, figures checked 1 October 2026, QBE Insurance is the only authorised insurer providing ACT residential building work insurance, while the Master Builders Fidelity Fund is the only approved fidelity fund scheme under the Building Act 2004. The guidance says building work on houses and apartment buildings with three storeys or fewer, not counting a car park, must be covered; it also records that, from 1 January 2025, the minimum insurance amount increased from $85,000 to $200,000 and the claim lodgement period increased from 90 days to 180 days. In document terms, QBE’s route is an insurance policy, while the Master Builders Fidelity Fund’s route is a fidelity certificate.
What is the difference between QBE and Master Builders?
The difference is their legal status under the ACT framework.
| Provider | Status in the ACT | Document |
|---|---|---|
| QBE Insurance | The only authorised insurer providing residential building work insurance in the ACT | An insurance policy issued in accordance with section 90 of the Building Act 2004 |
| Master Builders Fidelity Fund | The only approved fidelity fund scheme under the Building Act 2004 | A fidelity certificate issued according to the approval criteria for a fidelity fund scheme |
An authorised insurer is a body corporate authorised to carry on insurance business under the Insurance Act 1973 (Cwlth). An approved fidelity fund scheme follows a different legal and documentation route, so “Master Builders Fidelity Fund” should not be treated as another name for an authorised insurer.
Is the Master Builders Fidelity Fund a government business?
No. The Master Builders Fidelity Fund is a private-sector managed not-for-profit enterprise, not a government business.
The ACT Government has a regulatory oversight function for the Fund. Oversight does not change its stated status: the Fund remains a private-sector scheme rather than an authorised insurer or government business.
Which building work needs insurance?
The ACT guidance identifies the following scope:
| Building or structure | Requirement described in the guidance |
|---|---|
| Houses | Building work on houses with three storeys or fewer must be covered |
| Apartment buildings | Building work on apartment buildings with three storeys or fewer must be covered |
| Car park | A car park is not included when counting storeys |
Residential building work insurance is also called home warranty insurance or builder’s warranty insurance.
Who obtains the insurance, and when?
The builder is responsible for arranging the required insurance or fidelity certificate.
- Before applying for a building commencement notice: the builder must obtain the insurance.
- Before starting building work: the insurance must already be in place.
- For the owner: the builder must provide evidence of the insurance.
- For the certifier: when the work requires insurance, the certifier must verify that it is in place before issuing the building commencement notice.
These duties apply whether the builder obtains a policy through an authorised insurer or a fidelity certificate through an approved fidelity fund scheme.
What should an owner check on the policy or certificate?
The builder must give the owner evidence, but the owner should check the document rather than rely only on its name or branding.
Check that:
- it is an insurance policy issued through an authorised insurer or a fidelity certificate issued through an approved fidelity fund scheme;
- all details are complete and accurate;
- the cost of the work shown on the document is correct; and
- the builder’s name is correct.
The ACT guidance also states that the insurance covers the current owner and future owners if the building is sold to another party.
What amount and claim deadline apply?
The ACT guidance records the following changes:
| Item | Earlier amount or period | From 1 January 2025 |
|---|---|---|
| Minimum insurance amount | $85,000 | $200,000 |
| Time allowed to lodge a claim | 90 days | 180 days |
The claim time limit does not simply run from the start of the building contract. According to the guidance, it commences when the homeowner becomes aware that the builder has become insolvent, died or disappeared.
This is general information, not financial or legal advice. Check the ACT regulator page for the latest provider position and read the relevant policy’s product disclosure statement or the fidelity certificate terms before relying on the document.
Sources
FAQ
Is QBE the only authorised insurer in the ACT?
For residential building work insurance, the ACT guidance lists QBE Insurance as the only authorised insurer. That statement is specific to this class of insurance, not every type of insurance available in the ACT.
Is the Master Builders Fidelity Fund a government business?
No. It is a private-sector managed not-for-profit enterprise, although the ACT Government has a regulatory oversight function.
Who must obtain the insurance and provide evidence to the owner?
The builder must obtain the insurance before applying to the certifier for a building commencement notice and before starting work. The builder must also provide evidence of the insurance to the owner.
What details should the owner verify?
Check that the policy or fidelity certificate is complete and accurate, particularly the cost of the work and the builder’s name. Also confirm that the document is the required insurer policy or approved-scheme fidelity certificate.
When does the 180-day claim lodgement period start?
The period stated to apply from 1 January 2025 starts when the homeowner becomes aware that the builder has become insolvent, died or disappeared.
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