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How to Handle Damage Caused by a Contractor

12/9/2022

30 Comments

 
When you hire a contractor in New South Wales, you trust them to look after your interests, but most are in it for themselves. They will do the job quickly, cheaply, and carelessly as possible, all at your expense.
Read to learn about handling damage caused by a contractor, how a contractor causes damages, and who pays for the damages caused by the contractor.

Ask the Contractor to Repair

When you hire a contractor, you're placing your trust in that person's ability to complete the work on time, on budget, and to your satisfaction. You can ask for repairs if your contractor fails to live up to this promise.
It's important not to lose your cool. When you talk to your contractor calmly, you can help ensure they will respond in kind. You'll also keep an open line of communication between yourself and the company responsible for the repairs.
You should also ensure that any problems with the job are documented and written down in detail so that both parties understand exactly what needs fixing and how it should be done.
Also, consider hiring an independent inspector or engineer who can verify whether the contractor is causing the problem or if other factors are at play (like bad weather).

File a Claim With Their Insurance Company

If you still do not get a response from the contractor within 30 after requesting repairs, then it is time to file a claim. The claims process will vary depending on the company's policies.
By law, contractors must have liability insurance so that when they cause damage to your property, they have the money needed to cover the cost of repairs.
The process of filing for a claim is simple:
  • Provide them with information about what happened and how much it will cost to make repairs. It helps them determine if they'll cover all costs or only part of them.
  • Wait while they investigate the claim and get back in touch with you about their decision on whether or not they'll pay out any funds towards making repairs needed at a client's home or business premises.

How Can the Contractor Cause Damages?

If your contractor causes damage to your property, you may claim compensation for the cost of repairs. It can include materials and labor costs for fixing the damages caused by a faulty repair or installation.
A contractor can cause damage in two ways:
  • Negligence
If contractors fail to follow industry standards, they may be liable for damages. For example, if the contractor does not put down mats or plastic sheeting before working on your lawn, they could cause excessive damage if their tools leak water or fuel onto your grassy lawn. The resulting damage would likely be covered under negligence laws in most jurisdictions.
  • Breach of Contract
 If a contractor fails to complete work they have been hired to do within a reasonable timeframe, they could be held responsible for any damages caused. They may also be liable if they fail to complete the job—or if they do not do it properly—which results in further damage. 

How Do You Prevent Contractors' Damages?

Contractors can cause serious damage to your home, which you should never have to deal with. With a little preparation and care, you can ensure that your home is well protected from contractor damages.
  • Check the reputation of the contractor. Ask friends and family members who they use or by looking them up online. You should also check with local authorities to see if there are complaints against them.
  • Ensure that your contractor has liability insurance in place. 
  • Review your homeowner's insurance policy before allowing anyone into your home. Some companies will not cover damages caused by contractors if they do not possess liability insurance at the time of the incident.
  • Do not hire a contractor who asks for payment before starting work. It's common among dishonest contractors.
  • Get everything in writing. Before starting any work on your home, have all the agreement terms written down and signed by both parties. It should include what materials will be used, who is responsible for paying for them and how much they cost, how much time the job is expected to take, and what happens if it takes longer than anticipated.

What Will You Do as a Contractor if You're Sued for Damages?

If you're sued for damages, you may defend yourself. You can also try to settle with the person who is suing you.
If the owner refuses an out-of-court settlement, read the court papers carefully and figure out exactly what is being claimed against you. You should also find out if there are any deadlines for responding to the lawsuit or for getting other papers from the court. A lawsuit may be filed in a regular civil court. 
If you don't respond to a claim against you, then several things could happen:
  • Your insurance company may refuse to cover any costs associated with the claim. If they do, then your insurance premiums may increase. They may cancel your insurance policy if they don't cover these costs.
  • The person making a claim could win by default judgment.

Will Your Homeowner's Insurance Take Care of Damages?

Homeowners insurance protects your home from damage due to fire, wind, theft, and other calamities. It also covers injuries that occur on your property. However, some homeowners' policies do not cover damage caused by a contractor working on your home.
Your insurance company will try to reimburse their money from the contractor's insurance. Verify your contractor's insurance status before beginning the project.
Ultimately, collect evidence of all the work done and the damages. If you can find a worker who will testify about the poor quality of the previous contractor's work, that's even better. Being persistent and calm will resolve your situation. It may take time, but if you've collected enough evidence and acted reasonably, it won't be long before you see progress in your case. Click here https://www.konnectbuilding.com.au/ for all your residential and commercial building solutions.
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NSW 2207, 

0402658244


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30 Comments
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4/8/2023 07:27:01 pm

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4/23/2024 01:34:44 pm

Documenting problems and seeking independent verification can provide clarity and strengthen your case if you need to file a claim with the contractor's insurance company.

Reply
DRIVEWAYS | HARDSTANDS | ROAD RE-SURFACING link
5/21/2024 01:21:46 pm

This is helpful and interesting, thanks for sharing! Preventing contractor damages begins with checking their reputation, ensuring they have liability insurance, and getting all agreements in writing before starting the project.

Reply
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6/14/2024 12:28:43 pm

This is helpful and interesting, thanks for sharing! It's crucial to know how to handle damages caused by contractors and the importance of keeping communication open and documented.

Reply
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7/4/2024 01:12:13 am

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7/5/2024 11:57:49 pm

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7/6/2024 11:47:47 pm

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7/10/2024 11:50:01 pm

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7/12/2024 12:46:09 am

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7/19/2024 12:01:54 am

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7/19/2024 12:02:10 am

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7/20/2024 03:33:43 pm

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7/20/2024 03:34:04 pm

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7/20/2024 03:35:15 pm

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7/20/2024 03:36:07 pm

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7/25/2024 04:30:13 pm

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7/25/2024 04:30:48 pm

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7/25/2024 04:31:27 pm

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7/26/2024 04:19:07 pm

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4/1/2025 12:58:17 am

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