UK Insurance Backed Guarantee Specialists
Insurance Backed Guarantees for UK Contractors & Construction Works
SB&G works with specialist insurance providers to arrange Insurance Backed Guarantees for contractors, developers and property professionals across a wide range of construction and improvement works, including roofing, waterproofing, tanking, glazing, cladding and solar.
UK Insurance Backed Guarantees
New & Existing Contractors Considered
Retrospective Cover May Be Available
No Mandatory Membership Fee
Need an Insurance Backed Guarantee? Use the enquiry form alongside this page and tell us the type of work, whether it is new or already completed, the contractor details and who has requested the IBG.
Insurance Backed Guarantees UK
What Is an Insurance Backed Guarantee?
An Insurance Backed Guarantee, commonly shortened to IBG, is an insurance policy designed to sit behind an eligible contractor's own written guarantee.
If the contractor later ceases trading and can no longer honour that guarantee, the insurance policy may provide protection for qualifying claims in accordance with its terms, conditions, limits and exclusions.
IBGs are commonly used across UK construction, home improvement and specialist building works to give customers, developers, lenders and warranty providers additional confidence that an eligible guarantee does not depend solely on the contractor continuing to trade.
How It Works
How Does an Insurance Backed Guarantee Work?
The exact process varies between insurers and work types, but a typical arrangement follows these broad stages.
Step 1
Contractor Guarantee
The contractor provides an eligible written guarantee covering the relevant work for an agreed period.
Step 2
IBG Arranged
The Insurance Backed Guarantee is arranged through an appropriate insurance provider for the qualifying work.
Step 3
Contractor Remains Responsible
While the contractor continues to trade, responsibility under their own written guarantee normally remains with them.
Step 4
Insurance Protection
If the contractor can no longer honour the guarantee because they have ceased trading, an eligible claim may be considered under the IBG policy terms.
The Key Difference
Contractor Guarantee vs Insurance Backed Guarantee
An IBG does not usually replace the contractor's written guarantee. It provides an additional layer of protection behind an eligible guarantee.
Contractor Guarantee
The contractor promises to remedy qualifying issues with the work in accordance with their own written guarantee.
Insurance Backing
The IBG provides insurance protection if the contractor can no longer meet the eligible guarantee obligation because they have ceased trading, subject to the policy.
Separate Documentation
The contractor guarantee and the insurance policy are separate documents and should both be retained by the customer.
Policy Terms Apply
Cover is determined by the insurance policy's terms, insured works, period, conditions, limits and exclusions.
Contractor Benefits
Why Offer an Insurance Backed Guarantee?
A strong written guarantee demonstrates confidence in workmanship. Adding appropriate insurance backing can provide additional reassurance to customers who may reasonably ask what would happen if the contractor was no longer trading several years later.
Customer Confidence
Gives customers additional assurance behind an eligible written contractor guarantee.
Tender Requirements
An IBG can sometimes be required by a developer, main contractor, lender or other project stakeholder.
Structural Warranty Requirements
Separate guarantee protection may be requested for specialist elements of a development that fall outside or alongside the main structural warranty.
Commercial Differentiation
Insurance backing can help distinguish a contractor from competitors offering only an unsupported written guarantee.
Contractor Eligibility
Can My Business Obtain an Insurance Backed Guarantee?
Potentially. Cover is subject to the insurer's eligibility and underwriting requirements, but both established businesses and newer contractors may be considered.
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Established contractors
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Newer contracting businesses
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Residential contractors
Eligibility varies according to the insurer, contractor, work type, guarantee period and whether the work is proposed, ongoing or already complete.
Completed Works
Can I Get a Retrospective Insurance Backed Guarantee?
In some circumstances, yes. Retrospective Insurance Backed Guarantees may be considered for qualifying work that has already been completed where suitable insurance backing was not arranged at the time.
This can arise during a property sale, refinancing, mortgage application, structural warranty review or where a solicitor, purchaser, lender or developer subsequently asks for evidence of an Insurance Backed Guarantee.
Because the works already exist, the insurer may need additional information about the contractor, original guarantee, type of work, completion date and reason retrospective cover is required.
Retrospective cover is not automatic
Availability depends on the individual circumstances and the insurance provider's underwriting requirements. Some completed works may require additional evidence or may not be eligible.
Structural Warranty Requirements
Why Might a Structural Warranty Provider Require an IBG?
Structural warranty arrangements do not necessarily provide identical protection for every specialist element of a building.
Depending on the warranty provider and project, separate guarantee protection may be requested for specialist works such as flat roofing, waterproofing or basement tanking.
Where an IBG has been requested as a condition of a structural warranty quotation or approval, send us the warranty provider's exact requirement so the appropriate cover can be considered.
Have a specific warranty condition?
Include the relevant warranty quotation, condition or wording with the enquiry rather than relying on a general description of the requirement.
Eligible Work Types
What Types of Work Can an Insurance Backed Guarantee Cover?
Availability varies by insurer, but Insurance Backed Guarantees can potentially be arranged across a broad range of construction and property improvement work.
Roofing
Flat roofing, pitched roofing, single-ply, GRP, EPDM, felt systems and other qualifying roof installations.
Waterproofing & Tanking
Basement waterproofing, tanking, below-ground protection and other qualifying waterproofing systems.
Piling & Groundworks
Specialist piling, foundation and qualifying groundworks requirements may be considered.
Glazing
Commercial glazing, structural glazing and other qualifying glazing installations.
Cladding
Eligible cladding and façade works can potentially be supported, subject to insurer appetite and the specific system.
Solar & Renewables
Solar panel and qualifying renewable-energy installations may be eligible depending on the insurer and scheme.
Damp Proofing
Qualifying damp-proofing and associated remedial works can be considered.
Refurbishment
Residential and commercial refurbishment works can potentially qualify depending on the scope.
Loft Conversions
Eligible loft-conversion and specialist home-improvement work can potentially be considered.
Other Specialist Works
The list is not exhaustive. Send the work specification if your particular trade or system is not shown.
Roofing Insurance Backed Guarantees
Insurance Backed Guarantees for Roofing
Roofing is one of the most common areas in which contractors and property owners seek an Insurance Backed Guarantee.
Subject to insurer acceptance, cover may be available for qualifying flat roofs, pitched roofs, GRP systems, EPDM, single-ply membranes, felt systems, metal roofing and other specialist roof installations.
The contractor's underlying guarantee, roof system, project value, installation details and required guarantee period may all be relevant to eligibility.
Guarantee Period
How Long Does an Insurance Backed Guarantee Last?
The period depends on the insurance product, contractor guarantee, work type and insurer.
Ten-year Insurance Backed Guarantees are common in parts of the construction and home-improvement market, although different periods may be available for some trades and schemes.
The policy schedule should always be checked for the actual period of insurance and the works to which it applies.
Policy Protection
What Does an Insurance Backed Guarantee Cover?
There is no single universal IBG wording. The exact protection depends on the insurance product and underlying contractor guarantee.
Insured Works
The policy identifies the works, installation or guarantee being backed.
Contractor Ceasing to Trade
Protection is commonly designed for circumstances where the original contractor can no longer honour an eligible guarantee.
Policy Period
Cover applies only during the period specified in the policy documentation.
Terms & Exclusions
Claims remain subject to the insurer's terms, conditions, exclusions, limits and claims procedure.
Different Types of Protection
Insurance Backed Guarantee vs Structural Warranty
They are not the same product.
An Insurance Backed Guarantee generally provides insurance protection behind an eligible contractor guarantee for specified works.
A structural warranty is a different form of protection relating to specified structural risks and defects under its own policy terms. On some developments both forms of protection may be required.
Flexible Arrangements
Do You Have to Pay a Membership Fee?
SB&G does not require contractors to purchase a mandatory membership simply to make an Insurance Backed Guarantee enquiry.
Subject to the insurance provider's own requirements, cover may be considered on an individual-project basis or for contractors requiring Insurance Backed Guarantees across multiple jobs.
This allows contractors to discuss the cover they actually require rather than committing to an unnecessary membership structure.
Application Information
What Information Is Needed for an IBG?
Requirements vary depending on the insurer and work, but providing the core information at the outset can make the enquiry easier to assess.
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Contractor or business details
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Project or property details
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Contract or installation value
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Contractor guarantee period
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Completion date if retrospective
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Existing written guarantee
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Lender or warranty requirement if applicable
Why SB&G?
Specialist Insurance Backed Guarantee Support
IBG requirements vary widely between trades, insurers, warranty providers and individual projects. The right route depends on understanding what protection has actually been requested.
Wide Range of Work
Roofing, waterproofing, tanking, glazing, cladding, piling, solar and other specialist works can potentially be considered.
Retrospective Cases
Completed works may potentially be considered where cover was not arranged at the time.
Warranty Requirements
Specific lender, developer or structural-warranty requirements can be reviewed against available insurance options.
No Mandatory Membership
Contractors can discuss individual or repeat IBG requirements without being forced into a generic membership proposition.
Insurance Backed Guarantee Questions
Frequently Asked Questions
What does IBG stand for?
IBG stands for Insurance Backed Guarantee.
What is an Insurance Backed Guarantee?
It is an insurance policy designed to provide protection behind an eligible contractor's written guarantee, subject to the policy terms and conditions.
What happens if the contractor stops trading?
If the contractor has ceased trading and cannot honour an eligible guarantee, the policyholder may be able to make a claim under the Insurance Backed Guarantee, subject to the policy terms.
Does an IBG replace the contractor's own guarantee?
Usually no. The IBG is generally intended to sit behind an eligible written contractor guarantee rather than replace it.
Can I get a retrospective Insurance Backed Guarantee?
Potentially. Some insurers can consider completed works, although retrospective cover is subject to underwriting and may require additional evidence.
Why might I need a retrospective IBG?
Common reasons include a property sale, mortgage or refinancing, solicitor request, structural-warranty requirement or missing guarantee documentation from completed works.
Can a new contractor obtain an IBG?
Potentially. Eligibility depends on the insurer, contractor, work type and individual circumstances rather than simply the age of the business.
Can a sole trader obtain an Insurance Backed Guarantee?
Potentially, subject to the eligibility requirements of the insurer providing the cover.
How long does an Insurance Backed Guarantee last?
The period varies by policy and work type. Ten-year periods are common in parts of the market, but the actual policy schedule should always be checked.
Can I get an Insurance Backed Guarantee for roofing?
Yes, qualifying roofing work is one of the common uses of IBGs. Eligibility depends on the contractor, system and insurance provider.
Can I get an IBG for flat roofing?
Potentially. Flat roofing systems including qualifying membrane, GRP, EPDM and other installations may be considered by appropriate insurers.
Can I get an IBG for basement tanking or waterproofing?
Potentially. Basement tanking and specialist waterproofing are common reasons for an IBG requirement, particularly where a structural-warranty provider requests separate protection.
Can an IBG cover glazing or cladding?
Potentially. Commercial glazing, structural glazing, cladding and façade work may be considered depending on the insurer and system involved.
Can an Insurance Backed Guarantee cover solar panels?
Qualifying solar or renewable-energy installations may potentially be covered where an appropriate insurance product is available.
Is an IBG the same as a structural warranty?
No. An IBG generally backs an eligible contractor guarantee, while a structural warranty provides a separate form of protection under its own policy terms.
Does an IBG cover every workmanship problem?
No. Cover depends on the insured works, contractor guarantee and policy terms, conditions, limits and exclusions.
Do I need to join a membership scheme?
SB&G does not require a mandatory membership simply to make an IBG enquiry. Any insurer-specific eligibility requirements will depend on the cover being arranged.
Who receives the Insurance Backed Guarantee?
This depends on the policy arrangement, but the protection is generally intended for the eligible customer or policyholder benefiting from the contractor's guarantee.
What information is needed to arrange an IBG?
Information can include contractor details, work type, project value, property details, underlying guarantee and any lender, developer or structural-warranty requirement.
How quickly can an Insurance Backed Guarantee be arranged?
Timescales vary by insurer and requirement. Straightforward eligible cases with complete information can normally be assessed more efficiently than retrospective or unusual cases requiring additional underwriting.
Insurance Backed Guarantee availability, eligibility, insured works, guarantee periods, retrospective cover, policy limits, conditions and exclusions vary between insurance providers and individual cases. Cover is subject to insurer acceptance and the applicable policy wording.