Social Housing Warranty

What is a social housing warranty?

A social housing warranty is a type of insurance specifically designed for social or affordable housing projects. It protects against hidden defects that may arise in the construction of new builds or conversions.

Social housing warranties provide peace of mind and financial security for social housing providers, builders and developers.

What is classed as “social housing” or “affordable housing”?

Affordable housing refers to government initiatives that offer housing options, such as homes for sale or rent, at below-market rates to individuals and families who cannot afford market-rate housing.

Social Housing is a government scheme under the umbrella of affordable housing. However, in this instance, tenants rent their homes from local councils or housing associations instead of private landlords.

What does a social housing structural warranty cover?

A social housing structural warranty is an insurance policy protecting social housing providers against structural defects in new or converted properties. Some of the areas that are covered may include:

• Workmanship
• Electrical components
• Plumbing and water supply fixtures
• Material issues
• Doors & windows
• Woodwork
• Major structural problems
• Subsidence
• Foundation issues
• Water ingress
• Roof framing
• Floor framing

It is worth noting that social housing structural warranties can usually be transferred to new owners under certain conditions, especially when properties are sold under schemes like “right to buy”.

However, to ensure a smooth transition and continued protection, it’s advisable for both the original owner and the new buyer to consult with the warranty provider beforehand.

At CIR, we offer either 10 or 12 years structural warranty insurance for Social housing and affordable housing policies.

What is the application process for a social housing warranty?

The application for social housing warranty is relatively simple and follows these steps:

• Contact a Warranty Provider: Contact CIR to discuss your project and eligibility
• Provide Information: Share details about your development, including plans, costs, and developer experience
• Submit Documents & Wait: Provide necessary documents such as construction drawings and site investigation reports, CIR will review this information and contact you about your case.

What are the benefits of a social housing warranty?

By obtaining a social housing warranty for your project or development, you gain a range of benefits that you would miss if you overlooked this type of structural warranty.

• Financial Protection: If you were to face any issues due to the workmanship, materials or other structural defects on this social housing project, depending on the years you are into your policy, you will be able to recover these costs.
• Financing Options: You will become a more attractive project to finance, as investors funds will be covered in the unfortunate event of any structural defects arising.
• Peace of Mind: This type of structural warranty provides you with a safety net and peace of mind knowing that the investment into this project is safe.

By not investing in social housing warranty, you will not be able to leverage any of the above benefits that come with a policy.

How much does a social housing warranty cost?

The cost of a social housing warranty will differ depending on a number of different factors, so there is not one set cost for all.

The factors that will impact the cost of your social housing warranty can include:

• Location
• Size of project
• Experience of developer
• Ground conditions
• Level of cover required

To get a true understanding of how much it would cost to cover your social housing project we recommend requesting a free, non-obligation quote by clicking here. One of our expert consultants will be able to run through the details of your project with you.

Why choose a CIR social housing warranty?

The team at CIR has decades of experience in specialised structural warranties. Our social housing structural warranty policies are underwritten by specialist insurers and are widely accepted by the nation’s leading banks and building societies.

Plus, our policies are fully digital, making them quicker, easier and more efficient for you to manage.