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Builders in turmoil over insurance crisisThe Independent Member for Gippsland East, Craig Ingram, is seeking an urgent meeting with the State Government in an effort to resolve insurance issues affecting many builders and associated professionals in his electorate and across the state. By Craig Ingram MP - Member for Gippsland East - 16th April 2003 - Back to News The Independent Member for Gippsland East, Craig Ingram, is seeking an urgent meeting with the State Government in an effort to resolve insurance issues affecting many builders and associated professionals in his electorate and across the state.
Mr Ingram said he had spoken with a number of builders who were unable to undertake projects due to the difficulties arising from able to secure reasonable terms for professional indemnity insurance.
In Parliament last week, Mr Ingram said the Master Builders Association of Victoria conducted a recent survey which showed that 74 percent of respondents were dissatisfied with the current warranty insurance system; and 85 per cent regard it as a matter of importance that an equitable warranty insurance system be put in place.
"The survey also indicated that 80 per cent of builders surveyed believed the criteria to obtain warranty insurance was unreasonable; and 58 per cent of builders surveyed had to restructure their business to accommodate the requirements of insurers, including restructuring their taxation facilities and not being able to use companies or family trusts," Mr Ingram told Parliament.
"Many builders have lost work through these problems and many have several projects on their books, but are unable to start them because of this bungle.
Mr Ingram has spoken with the Minister for Finance, John Lenders, and the Minister for Planning, Mary Delahunty, requesting a meeting with a delegation of local builders, associated professionals and property developers to discuss the issues.
"It is a significant impediment to a lot of builders in my electorate and throughout Victoria and needs to be addressed without delay. "This has the potential to cost this region millions of dollars in lost development," Mr Ingram concluded.
Source: http://gippsland.com/ Published by: news@gippsland.com
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