Hi everyone! I’m Russell, the lead building inspector at WA Building Inspections. During a building inspection, I recently encountered a case in Alkimos, Perth that raises a pressing question for homeowners: Who should pay for a failed waterproofing job – the builder or the insurer? In this instance, a waterproofing job completely failed after seven years, leading to massive damage and both the builder and the insurer refusing responsibility. So, is failed waterproofing covered by insurance, or does it fall under the builder’s responsibility?

Let’s check out the video so you can see the damage this done.

The Construction Failure: What Went Wrong?

This costly disaster began with failed waterproofing on a first-floor shower. Seven years later, the waterproofing membrane broke down, causing severe damage to the structure below and requiring an entire bathroom renovation.

The shocking part? No independent building inspection or even a waterproofing inspection was performed at the time of completion. The builder simply sent an email to the surveyor claiming everything was compliant with AS3740 Australian Standards and ready to go. However, the reality was very different.

What happens when waterproofing fails?

In this case, when it rains it pours, or should I say, when it leaks, it pours. This negligence led to widespread structural damage, which neither the insurer nor the builder wanted to cover.

The Builders’ Responsibility: Where Did They Fail?

My inspection of the property revealed multiple points of non-compliance that made this a clear case of faulty waterproofing:

• No waterproofing up the walls: Proper waterproofing wasn’t installed on the shower walls, leading to mold and moisture build-up.
• Improper internal corners: The internal corners were not waterproofed according to Australian Standards.
• Failed waterproofing membrane: The puddle flange was installed incorrectly, without proper waterproofing.

Is faulty waterproofing a structural defect?

Absolutely. Waterproofing issues like this can cause significant structural damage, especially when they affect areas like the underside of the slab, as seen in this case.

Insurer’s Perspective: Why Was the Claim Denied?

When the homeowner submitted a claim to the insurer, it was rejected on the grounds of non-compliant work. The insurer’s position was clear: Does insurance cover failed waterproofing if the work was not done to standard? In this case, no. The insurer refused to pay because the waterproofing was not compliant with Australian Standards. Meanwhile, the builder argued that the job was beyond the 7-year building warranty.

This leaves the homeowner asking: What does a 7-year building warranty cover? Typically, this warranty covers structural defects, but it can become complicated when poor workmanship is involved. In this instance, both parties were trying to avoid responsibility, leaving the homeowner stuck with the bill.

The Homeowner’s Dilemma: Who Should Pay?

So, who should pay for the damage caused by failed waterproofing? The homeowner was left in a difficult position, with the builder refusing to cover it under their expired warranty and the insurer rejecting the claim based on poor workmanship. The real question becomes: Is waterproofing a guarantee or warranty? Builders are required to guarantee the quality of their work, but after a certain period, they are often no longer liable for defects, especially if insurance excludes non-compliant work.

How To Tell If Shower Waterproofing Has Failed

There are clear signs that your waterproofing might be failing. Here’s how to tell if shower waterproofing has failed:

• Mold or mildew around the base or walls of the shower
• Water stains on ceilings below bathrooms
• Cracks or gaps in tile grout
• Loose tiles in the shower area

If you notice these issues, it’s critical to act quickly. Can you repair bathroom waterproofing? Yes, but it’s important to address the underlying causes of the failure before attempting a repair.

What To Do If Waterproofing Fails?

Homeowners facing failed waterproofing have a few options to protect themselves:

1. Hire a Building Inspector: Getting independent inspections at critical stages of construction ensures that non-compliance is caught early. If the waterproofing membrane isn’t installed properly, you’ll know before the damage occurs. Contact us at WA Building Inspections to arrange a comprehensive inspection.

2. Know Your Insurance Policy: Always check if your insurance covers failed waterproofing. Some policies will deny coverage for issues related to poor workmanship, so it’s essential to know your rights and responsibilities.

3. Understand the Builder’s Warranty: Builders are often responsible for structural defects for up to seven years, but understanding the limits of that warranty can help you avoid costly surprises. If you’re unsure about what a 7-year building warranty covers, consult a legal expert or building professional.

How To Fix Failed Waterproofing in a Shower

How do you fix failed waterproofing? Fixing failed waterproofing in a shower requires removing the tiles, applying a new waterproof membrane, and ensuring that all corners and joints are properly sealed. This is a job that needs to be done by a professional to ensure it meets Australian Standards.

If you’re dealing with failed waterproofing, it’s essential to get it fixed by a certified contractor who will guarantee the work. Proper waterproofing is key to protecting your home’s structure and avoiding expensive repairs down the line.

My Final Words: Who Should Pay for This Waterproofing Disaster?

In this situation, both the builder and the insurer are refusing to take responsibility, leaving the homeowner with a hefty bill for repairs. So, who should pay for failed waterproofing – the builder or the insurer? In many cases, if failed waterproofing is due to poor workmanship, the responsibility lies with the builder. However, if the warranty period has expired, the homeowner may have to bear the costs unless insurance coverage applies.

To avoid situations like this, make sure you get an independent waterproofing inspection and stage inspections inspections at key stages of your project, know your rights under your insurance policy, and understand the limitations of your builder’s warranty.