HEXA Experts · Legislation

Peeters-Borsus Act

Under certain conditions, the Peeters-Borsus Act requires construction professionals to hold insurance for ten-year civil liability on certain residential projects.

Introduced in 2018, the Peeters-Borsus Act governs compulsory ten-year civil liability insurance for certain construction professionals and residential projects. This protection is subject to statutory conditions and supplements existing liability rules for serious building defects.

Purpose of the Act

The Act aims to ensure liability for certain serious defects when the construction professionals concerned fall within its scope. These are defects affecting the home’s stability, structural integrity or watertightness, within the limits set by law.

Insurance requirement

For the professionals and works covered by the scheme, insurance must be taken out before work begins. The requirement does not automatically apply to every building type, contract or renovation.

Scope and exceptions

The scheme primarily covers certain residential buildings and construction or renovation work requiring a permit. Its precise scope, including the work and parties concerned, must always be checked against the current legislation. Minor works or work outside the scope are not necessarily subject to this insurance requirement.

Information duty

When the Act applies, the client must be informed about the compulsory insurance and its coverage. Ask the contractor or architect for the relevant insurance certificates and keep them with your building records.

What does this mean for the client?

The Act may provide insurance protection for serious defects within its scope. It is not a general warranty against all defects in a home, and it does not remove the need to report findings promptly and follow contractual agreements.

If you are unsure about coverage or liability in a specific case, have the policy, agreement and circumstances reviewed together.

Example

If a serious defect affecting a home’s stability develops over time, the insurance held by the construction professionals involved may be relevant. Whether a specific loss is covered depends on the law, policy terms and technical cause.

Implications for construction professionals

Compulsory insurance entails costs for the businesses covered by the scheme. The parties must also check in good time which certificates and documents are required for the project.

Benefits and limits for consumers

The insurance can provide financial protection if a covered serious defect occurs. It does not automatically cover all damage or workmanship defects. The insurer assesses claims under the law and policy terms; request the appropriate certificates and report damage promptly.

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