Queensland Consolidated Acts

QUEENSLAND BUILDING SERVICES AUTHORITY ACT 1991 - SECT 71AA

(1) A policy of insurance for residential construction work taken out by a licensed contractor may be cancelled by the contractor if--

(a) the contractor asks the authority in writing to cancel the policy; and

(b) the contract between the contractor and the consumer has ended; and

(c) the deposit under the contract has been refunded, less any amounts that may be lawfully deducted from the deposit; and

(d) the work insured under the policy has not started; and

(e) not more than 1 year has elapsed from the day the contract was entered into.

(2) A policy of insurance for residential construction work taken out by a construction manager may be cancelled by the construction manager if--

(a) the construction manager asks the authority in writing to cancel the policy; and

(b) the relevant construction management contract and all the construction management trade contracts for the work have ended; and

(c) deposits paid under the relevant construction management contract and all the construction management trade contracts have been refunded, less any amounts that may be lawfully deducted from the deposits; and

(d) the work insured under the policy has not started; and

(e) not more than 1 year has elapsed from the day the first construction management trade contract for the work was entered into.

(3) On cancellation of the policy, the authority must refund the insurance premium paid for the work to the licensed contractor or construction manager or to a person nominated in writing by the contractor or manager.

(4) To remove doubt it is declared that, despite section 68(3), a person may not claim to be entitled to indemnity under a policy of insurance cancelled under this section.