MEDIA RELEASE FROM CRAIG INGRAM MP - MEMBER FOR GIPPSLAND EAST Issued: Friday 7 December 2007

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Builders warranty insurance a failure: Ingram

The Independent Member for Gippsland East, Craig Ingram, has called on the State Government to address the ongoing failure and issue of builders warranty insurance.

In Parliament this week, Mr Ingram asked a question of the Minister for Finance, Tim Holding, calling on the Minister to take national leadership and protect consumers and builders from the ongoing affects of the failings of builders warranty insurance.

“Since 2002, Victorian home builders have paid three‑quarters of a billion dollars for builders warranty insurance (two billion nationally) that provided minimal cover and protection for home builders,” Mr Ingram said.

“The insurance scheme has failed to protect consumers, failed to protect builders and seriously impacted on home affordability.

“In light of the national focus on home affordability, it is essential that the State Government addresses this product and policy failure.

“The government must acknowledge that the current policy has failed and that other states are leaving Victoria behind with their consumer protection measures.

“The Victorian Government must show national leadership and implement real home warranty protection for Victorian families struggling to meet home construction costs, or will they wait for the new federal government to highlight Victoria’s five‑year policy failure,” Mr Ingram questioned.