When It Comes To Construction Defects, Your Homeowner’s Insurance May Not Be Enough

When It Comes To Construction Defects, Your Homeowner’s Insurance May Not Be Enough

Did your developer or a contractor perform faulty or defective work on your new home, condominium conversion, or commercial project? Many construction defects can become apparent 3 to 5 months after construction; such defects could include hairline cracks in a foundation, uneven flooring, leaky roofs and windows, moisture problems, improper draining, difficult-to-open doors or windows – to name a few.

If you notice a construction defect that could lead to the damage of another part of the property, then it’s important that you take immediate action to address the issue.

When it comes to addressing a construction defect, one of the most important questions that you should ask your insurance company is if it will cover the cost of repairs. Usually, homeowners insurance doesn’t provide financial assistance for the repairs of defective work. However, it can cover catastrophic events such as fires or floods.

Depending on the type of insurance that you have, your policy may cover various types of property damage, but not defective work. In some states, defective work is not considered property damage. It can be very frustrating to call your own insurance agent to discuss the issue and only to learn that you are not covered.

According to California Law and Civil Code 895 (also known as the Right to Repair Law) the contractor/builder/developer is responsible for the defective conditions on your property. He may tell you that you only have one year warranty on the property. This is somewhat misleading. For most serious defects you have up to 10 years from the date of completion to file a construction defect claim. However, you must be on the alert. Some defects have one year, two year or four statute of limitations. Remember that the 10-year time frame starts from the date your house is substantially finished, not the date you buy the house.

In some cases, the Contractors State License Board may be able to help you with financial assistance. However, if you are not able to get financial help from your insurance company or the government, you should hire a construction defect lawyer. A skilled attorney can help you file a successful claim.

When working with an attorney for construction defects, there are various fee structures that can be used. One of these is a contingency fee agreement, which provides the client with a set of options when it comes to paying for legal services. This type of agreement usually does not involve the client paying any fees until the recovery is made. Other costs of the litigation can also be charged to the client, but these are typically recovered from the settlement. Some of the expenses that are involved in the investigation of a construction defect can be recovered at trial. This is because a majority of cases that involve construction defects settle without going to trial.

To learn more about specific construction defects, click our Naumann Law Firm’s construction defect litigation page.

If you’re a homeowner, association or business owner seeking representation in construction defect litigation, our team at The Naumann Law Firm, PC in San Diego can help. We have more than 35 years of experience handling significant construction cases. To contact us, call 858-792-7474 or visit our San Diego construction defect contact page. We also work with clients in the Los Angeles, Orange County, Riverside, and San Bernardino areas.