Warranty & Insurance for Conversion Projects – What Do You Need to Know?

The allure of converting unconventional buildings such as lighthouses, barns, chapels and industrial units has long captivated self builders. These ambitious projects offer the prospect of a truly individual home, potentially in a location where it would otherwise be impossible to get planning. They can be full of construction challenges, but the resulting spaces are breathtaking, making them truly exciting projects to be involved with. Yet there are some considerations to bear in mind and, as with any project, it’s important to protect your investment.

At Protek, we’ve seen a 10.6% increase in the number of conversion projects being insured this year – fuelled by the evolving landscape of permitted development rights, such as Class Q agricultural-to-residential.

Due Diligence

Conversions often present a greater level of complexity due to the inherent uncertainties associated with existing structures. Unlike new builds, where the substrate is known and controlled, conversions can harbour concealed structural issues that can lie dormant beneath the surface for decades.

Establishing the unknowns through comprehensive early investigations is paramount. This phase should include foundation checks to ascertain the building’s integrity and load-bearing capacity, as well as assessments to identify any structural weaknesses, deterioration or poor prior alterations.

The insights gleaned from these investigations are key to developing an accurate and realistic project budget. Failing to invest adequately in early-stage due diligence can lead to costly unforeseen issues emerging later on.

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Common Issues

Protek’s structural warranty surveyors repeatedly see instances where robust planning has been missed. On one project, work began to increase room height by reducing floor levels, only to find the walls were not actually formed on any meaningful foundation. The resulting underpinning was expensive, time consuming and – working on an unstable wall – difficult to execute.

Your project is at greatest risk when the roof is off, and the walls exposed. It doesn’t take too much of a gust to destroy an exposed wall – conversion or new build. In fact, walls (especially unpropped gables) being blown down is one of the most prevalent storm claims we see. Careful management of the works, including temporarily bracing unsupported walls, is key.

The building’s condition, location and lie of the land can make it tricky to create a perfectly dry living space. Sloping sites and high moisture levels in the existing structure will require comprehensive tanking solutions, with perfectly linked DPC and DPM arrangements that follow the product specification exactly. Simply lapping a membrane part way up the internal wall is unlikely to be acceptable, as experience dictates this often leads to major problems down the line.

The Path to Success

It’s helpful to think of your conversion project as an exercise in financial risk mitigation. Engage professionals to thoroughly assess the entire structure, and ensure you know exactly what works must be carried out, and when, to maintain its integrity.

Avoid commencing work without the benefit of approved detailed drawings. While it might save time and cost initially, the lack of clarity in a Building Notice significantly increases the likelihood of encountering problems and queries from building control later on. Investing in detailed design at the outset provides a clear roadmap and facilitates a smoother build.

You can gain significant protection and peace of mind by securing site insurance and a 10-year structural warranty from the outset. Reputable providers typically review the design and conduct regular monitoring of the conversion works as they progress. This helps mitigate the risks of poor design and substandard workmanship.

Importantly, a structural warranty provides valuable protection against potential liability under the Defective Premises Act, which can extend for several years after the completion of the project – including if the property is subsequently sold. A comprehensive warranty can also be a big asset when seeking a mortgage or marketing the completed property to prospective buyers, providing an added layer of assurance regarding the quality and structural integrity of the conversion.

Simon Middleton Simon Middleton is managing director of Protek Group. Since starting his career as a site engineer, he has been underwriting site insurance and structural warranty in the self build and construction sector for over 25 years. For more information speak to the team by calling 0333 456 8030 or log on to Protek’s website.