Home warranty insurance cannot be transferred between contractors, but a property sale is different: because the policy is attached to the property, it remains in place after sale and, according to the QBCC’s homeowner guide, dated 24 January 2025, a later owner may be able to make a claim while it is active. The QBCC’s home warranty insurance page, updated 11 May 2025, says cover lasts 6 years and 6 months from the earliest of contract entry, premium payment or commencement of work, with a possible 6-month extension from the cover commencement day if the residential work took more than six months to complete (figures checked 1 October 2026).
Can a new contractor take over the existing policy?
No. Home warranty insurance cannot be transferred between contractors.
If a replacement contractor carries out residential construction work valued at more than $3,300, including materials, labour and GST, home warranty insurance is compulsory for that work. The contractor collects the premium from the homeowner, includes it in the contract and pays it to the scheme before work begins. That is a requirement for the new work, not a transfer of the existing policy (QBCC page updated 11 May 2025).
Does selling the home end the cover?
No. The QBCC says the insurance remains in place if the home is sold because it covers the property. The important distinction is that the existing cover follows the property rather than moving to a replacement builder.
The cover remains for its applicable period and cannot be renewed after it expires.
How can a buyer or legal agent find an attached policy?
A buyer, or the buyer’s legal agent, can search to see whether any home warranty insurance is attached to the property.
For a practical check:
- Confirm whether the search returns an attached policy.
- Check whether the policy is active and note the relevant cover dates.
- Review the original residential building contract.
- Read the relevant policy PDS for its terms, limitations, exclusions and claim timeframes.
- Use the QBCC’s current guidance to confirm how the policy applies to the particular claim.
A property sale alone does not tell you whether a policy exists or remains active, so the search is an essential starting point.
Can a later owner make a claim without being the original homeowner?
Potentially yes. The QBCC says a person making a claim does not have to be the person who originally contracted the building work. A later owner may be able to claim if the home has an active home warranty insurance policy.
The original contract and claim type still matter. The QBCC page updated 11 May 2025 sets out these boundaries:
| Check | Relevant position |
|---|---|
| Policy status | The policy must remain active for the relevant period. |
| Contract type | Fixed-price residential contracts can be covered for non-completion and defective work claims. Cost-plus contracts are covered only for defective work claims. |
| Contractor status | A non-completion claim requires a fixed-price residential contract with a licensed contractor. |
| Claim timing | A claim must be made within timeframes that depend on the type of claim. |
| Contract payments | The policy can be affected if the homeowner pays the contractor more than is allowed by law or under the contract. |
| Maximum payment | Home warranty insurance pays up to a maximum of $200,000 on claims. |
| Policy limits | Claims remain subject to limitations and some exclusions. |
Being the current owner does not guarantee that every defect or loss is claimable. The contract type, active cover period, applicable deadline, exclusions and other policy terms must still support the claim.
What should a buyer or claimant check next?
Use the QBCC search to confirm whether cover is attached, then check the property details, original contract and policy PDS. If the intended claim concerns non-completion or defective work, identify the claim type early because the contract type and time limit may affect eligibility.
This is general information, not financial or legal advice. Check the current QBCC guidance and the relevant policy PDS before relying on a search result or making a claim.
Sources
- What is home warranty insurance | Queensland Building and Construction Commission
- Home warranty insurance: A guide for homeowners | Queensland Building and Construction Commission
FAQ
Can a new contractor transfer an existing home warranty policy to their business?
No. Home warranty insurance cannot be transferred between contractors. Any insurance required for new residential construction work is a separate obligation.
Does selling a home stop home warranty insurance?
No. Because the insurance is attached to the property, it remains in place after sale for its applicable period. It cannot be renewed after that period ends.
Can a buyer claim if they did not sign the original building contract?
Potentially yes. A later owner does not have to be the person who originally contracted the work, but the policy must still be active and the claim must satisfy the applicable rules.
Does selling the home start a new cover period?
No. The QBCC ties the stated period to the earliest of contract entry, premium payment or commencement of work—not to the sale date.
How long does a later owner have to make a claim?
The applicable timeframes depend on the type of claim. Check the current QBCC claim guidance and the relevant policy PDS rather than assuming the sale date is the deadline.
Partner links. Using them costs you nothing extra and may earn us a commission.