This timeline is designed for a NSW homeowner whose residential project has stopped after the builder entered liquidation or another form of insolvency. Adapt it to the condition of the site and the instructions of the insurer, liquidator, certifier and legal adviser.
First 48 hours
Confirm and record
- Save the insolvency notice, liquidator details and every communication from the builder.
- Photograph every room, elevation, service area, stored material and temporary work.
- Record site keys, access devices, hired equipment and materials claimed by third parties.
Make the property reasonably safe
Address immediate hazards and weather exposure. Record the condition before any emergency action and retain invoices and photographs. Do not allow general construction to resume without a defined authority and scope.
Notify key parties
Contact icare HBCF in writing, the certifier, lender, insurer for the property, and your solicitor where appropriate. Tell them the project has stopped and ask what immediate records or site controls they require.
During the first week
Check the HBCF certificate
Compare the Certificate of Insurance with the contract and property. Use the HBC Check and ask icare to confirm the claim or notification pathway.
Build a document register
Collect the contract, plans, approvals, variations, progress claims, payments, correspondence, reports, certificates and historical photographs. Prepare a one-page timeline of key dates.
Arrange a construction inspection
The inspection should record progress and incomplete work, identify apparent defects and risks, note exposed or deteriorating work, and identify missing approvals, certificates or tests.
During the first month
Separate the scope
Divide the work into at least four groups:
- original contract work that is incomplete;
- defective work requiring investigation or rectification;
- consequential protection, demolition and reinstatement;
- owner changes or upgrades outside the original contract.
Develop a costed completion plan
Link the scope to plans and locations, obtain trade input, include access and testing, identify consultant and approval requirements, and state assumptions for concealed conditions.
Respond to insurer questions systematically
Answer each question in the insurer’s order. Cite the relevant document, plan reference, photograph or scope item. Issue revised schedules with a version and date rather than overwriting the record without explanation.
Before signing with a replacement builder
- confirm the accepted claim, available funds and owner contribution;
- confirm site possession and any liquidator issues;
- resolve the certifier and approval pathway;
- agree the detailed scope, exclusions, provisional items and programme;
- check the replacement builder’s licence, insurance and HBCF obligations;
- decide how concealed defects and variations will be handled.
The replacement contract should be based on the actual site condition and current documents, not merely the remaining balance of the first contract.
Common mistakes to avoid
- waiting for a complete technical report before notifying icare;
- discarding materials or altering work before recording it;
- mixing defects, incomplete work and upgrades in one undifferentiated quotation;
- sending unindexed photographs with no location references;
- starting rectification before responsibilities, funding and approvals are clear;
- assuming the insurer will accept every cost or every proposed upgrade.
Where ARK Houses fits
ARK Houses provides construction-side assistance: inspections, location schedules, marked-up plans, scopes, quotations, technical responses, rectification and completion. Claim acceptance, legal rights and policy interpretation remain matters for the insurer and the relevant professional advisers.
Official sources
This article is general construction information, not legal or insurance advice. Policy terms, time limits and official guidance can change. Confirm the current position with icare HBCF, SIRA and your advisers.