Contract Works insurance

Protect the investment you’re making in home renovations. Contact your insurance advisor or get in touch with our team to learn more about site cover insurance today.


Are you undertaking a renovation project at your property? When you make significant changes to your home it doubles as a work site, which brings unavoidable risk. There are even risks that could occur with smaller renovation projects.

It's crucial to understand that standard home insurance won't necessarily cover house renovations. If you or your workers cause property damage, the financial responsibility could fall on you.

So, are you adequately covered? Or is additional insurance cover necessary?

AMP contract works cover, also known as ‘site cover’ or ‘renovation insurance’, is designed to protect your existing property and any new construction from any accidental damage or loss that may occur during the renovation period, giving you invaluable peace of mind during your home improvements.

What is contract works insurance?

AMP contract works insurance, otherwise known as site cover or renovation insurance in NZ, is a type of insurance cover designed to cover accidental loss or damage and other issues that may arise during DIY and contracted property renovations. It usually includes elements like building material cover and insurance for the work undertaken.

House insurance policies are designed to cover your home but will not necessarily cover any alterations. So, if you undertake a renovation, any issue with the works may not be insured, and any loss or damage resulting from the renovation may not be covered.

By combining an AMP contract works or home renovation insurance policy with an AMP home insurance policy, you can proceed with your renovation knowing that you have got the right insurance cover in place, should an insured event happen.

The importance of contract works insurance

You’re in the process of renovating your home, and then something unexpected happens. A piece of heavy-duty plant equipment hits and damages building materials or the existing property.

House insurance often won’t cover accidental loss or damage relating to renovations, even when a qualified contractor is doing the work. What’s more, your tradies may only have liability cover, which is designed to cover negligence causing loss of damage. Whilst it is important that you ask for proof that your tradie has this insurance, covering your renovation may need a separate insurance cover.

Your home is the most valuable thing you own. But if you aren’t properly covered, then should a loss occur as a result of renovation, you may not be covered. AMP contract works insurance is designed for the exact work completed during your renovation.

When should I get home renovation insurance?

You should take out contract works insurance whenever you undertake renovations that aren’t covered by your existing house insurance policy, which is to say most of the time.

Whether you buy an existing home or build a new one, you may find that certain changes need to be made to make your house your home. Alternatively, you may have been living in your home for years, but changes to your family or lifestyle mean that your current home could do with an upgrade.

If you’ve committed to home renovations, you should take out contract works insurance before the work begins. It’s wise to contact insurance professionals, like an Advisor or our team at AMP, to understand what type of cover you need, and exactly when you need to take it out.

Renovation insurance cover can include:

Contract works

Contract works insurance in NZ encompasses all permanent and temporary work being performed at the insured building site during the construction period. You should carefully consider the maximum costs of the renovation (AKA the sum insured) to ensure it is sufficient to cover the value of the completed works, including all temporary and permanent construction work involving contractors and subcontractors, construction materials, wages, freight and customs duties.

Professional fees

Consider all the professional assistance that you may need for your renovation, including (but not limited to) fees for architects, surveyors, consulting engineers and your local council. Always check the policy wording.

Increased costs during construction/reconstruction

This cover accounts for any increase in construction costs during the renovation or rebuilding process, minimising the risk of underinsurance. If material, labour or freight costs increase more than anticipated, this feature can help to guard against unexpected out-of-pocket expenses.

Principal supplied goods

This refers to any goods, building materials, equipment and other items provided by the homeowner/principal to the contractor at no cost, which will be used in the renovation project. These items are incorporated into the contract work, and renovation insurance can protect them from accidental loss or damage.

Debris removal

This covers the costs of removing debris in certain claimable situations incurred at the contract construction site, which results in a loss to the contract works. This cover can extend to demolishing or shoring up undamaged portions of existing structures to enable the contract works to continue and complete temporary repairs that protect your existing house from further loss.

This is a summary only. See the renovation insurance policy document for the full list of terms, limits, conditions and exclusions for this cover.

AMP is here to help

Want to learn more about property renovation insurance? Speak to an AMP insurance specialist today to understand the level of policy cover that will be right for you. Have an existing insurance adviser or broker? Find them here.

Insurance (excluding travel) is underwritten by Vero Insurance New Zealand Ltd. This information is only intended as a guide. Policy limits and exclusions apply. Please refer to the policy wording for full terms and conditions.