Queensland Consolidated Acts

QUEENSLAND BUILDING AND CONSTRUCTION COMMISSION ACT 1991 - SECT 68H

68H Cover of residential construction work

(1) Cover under the statutory insurance scheme comes into force if—

(a) a consumer enters into a contract for the carrying out of residential construction work and—

(i) the contract bears the licence number of a licensed contractor and, under the licensed contractor’s licence, the licensed contractor may enter into contracts with consumers to carry out residential construction work covered by the statutory insurance scheme; or

(ii) the contract is with a licensed contractor and, under the licensed contractor’s licence, the licensed contractor may enter into contracts with consumers to carry out residential construction work covered by the statutory insurance scheme; or

(b) a consumer enters into a contract for the carrying out of residential construction work with a building contractor and, at or before the time the contract is entered into, the building contractor makes a representation that would cause a reasonable person to believe that the residential construction work is covered by the statutory insurance scheme; or

(c) a person (the
"defrauded person" ) enters into a contract for the carrying out of residential construction work with a person (the
"fraudulent person" ) fraudulently claiming to hold a licence under which the fraudulent person may enter into contracts with consumers to carry out residential construction work covered by the statutory insurance scheme; or

(d) the work is speculative residential construction work carried out by a licensed contractor and, under the contractor’s licence, the contractor may carry out residential construction work covered by the statutory insurance scheme.

(2) Subsection (1) applies whether or not an insurance premium has been paid, or a notice of cover has been issued, for residential construction work under this part.

(3) Subsection (1) does not apply to optional additional cover.

(4) If cover under the statutory insurance scheme comes into force for particular residential construction work under subsection (1) and the insurance premium has not been paid for the cover under sections 68B or 68C , the commission may recover the amount of the premium, as a debt, from—

(a) if the premium was required to be paid under section 68B (2) —the consumer required to pay the premium; or

(b) if the premium was required to be paid under section 68B (3) —the licensed contractor required to pay the premium; or

(c) if the premium was required to be paid under section 68C —the principal required to pay the premium.

(5) For subsection (1) (c) , this part applies as if—

(a) a reference to a consumer were a reference to a defrauded person; and

(b) a reference to a licensed contractor were a reference to a fraudulent person.