Have you ever wondered whether your guarantee will be honoured in the event your contractor ceased to trade?
Hopefully, your chosen contractor will always be there to respond to any problems that may arise over the period of their long term guarantee to you. However, experience shows us that, unfortunately, some contractors do cease to trade, usually due to financial failure, and therefore they will not always be able to honour their long term guarantee to you. Should this situation arise, you could incur costs in the future if faults were to require remedial work to be undertaken.
A solution to the situation outlined above is to use a Property Care Association member contractor who is able to provide you with an IBG as part of their contract with you.
Insurance Backed Guarantees (IBG)
Members of the Property Care Association are able to offer Insurance Backed Guarantees, provided by Guarantee Protection Insurance Ltd (GPI), to safeguard your long term guarantee. By obtaining an IBG through your chosen contractor you will be protected in the future if faults arise in the works undertaken and the original contractor has ceased to trade.
The general principle of an IBG is simple. It will honour the terms of the long term guarantee, originally issued to you by your contractor, where that contractor has ceased to trade and is, therefore, unable to meet their guarantee obligations by carrying out or meeting the costs of any remedial works that may be required during their long term guarantee.
Who are Guarantee Protection Insurance Ltd (GPI)?
GPI is a UK based general insurer, which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. With many years’ experience, GPI specialises in the provision of IBG’s, which are specifically designed to meet the costs of any remedial works that may be required during a long term guarantee, if a contractor has ceased to trade and is unable to carry out such works.
GPI is proud to be the preferred provider of IBG’s to members of the Property Care Association.
For more information on Insurance Backed Guarantees or GPI please click here