If you are a licensed builder in South Australia, some important changes are on the way and they will directly affect your Building Indemnity Insurance (BII) premiums, your legal obligations and the protection your clients receive.
At Be Covered Insurance, we work closely with builders and developers across SA, and we have broken down what’s changing and what it means for your day-to-day work.
Quick Recap: What Is Building Indemnity Insurance?
In South Australia, Building Indemnity Insurance is required for domestic building work that needs council approval and exceeds a certain dollar value. It protects the homeowner if you are unable to complete the job or return to fix defects due to insolvency, death or disappearance.
It’s arranged per project and must be in place before work can legally begin.
What’s Changing from 1 October 2025?
1.The Payout Limit Will Increase
The maximum indemnity available to homeowners will rise from $150,000 to $250,000 with QBE for all new certificates issued from this date. This increase strengthens the homeowner’s safety net but also increases the insurer’s liability.
2. Premiums Are Rising
To account for the higher payout limit, QBE (who administers BII on behalf of the SA Government) has confirmed premium increases across the board. These revised rates will apply to all certificates issued from 1 October onward.
We will continue to apply the most competitive rate based on your builder profile, so you are not paying more than you should.
What’s Changing from 10 November 2025?
3. Job Value Threshold Increases from $12,000 to $20,000
From 10 November, BII will no longer be required for domestic building jobs valued under $20,000 with QBE — up from the current $12,000 limit.
This is a welcome change for builders working on smaller jobs or minor renovations.
Policy Wording & Documentation
QBE has confirmed that updated policy wording will be available on 1 October 2025 via QBE’s website.
How Be Covered Can Help
We issue dozens of BII certificates each week and understand the ins and outs of SA’s building compliance. Whether you are a volume builder, a custom renovation specialist or doing a mix of both, we will guide you through the new thresholds, review your premiums and keep your documentation in line with the latest requirements.
These changes don’t need to be a burden and we will make sure they aren’t.
Have Questions? Let’s Chat.
If you are unsure how these changes might affect your projects or pricing, get in touch. We are here to make the transition easy and keep you covered, every step of the way.
