OpenLegislation

Paragraph 1 Interpretation

Original text. Later amendments are not shown.

In this Schedule—

  • “annual increment” means a compound increase occurring each 12 months after the commencement date, the increase being based on the lower of—

    1. (a)

      the rate of inflation in re-building residential premises; or

    2. (b)

      a rate of 10%;

  • “common parts” means such common parts—

    1. (a)

      as relate to the property;

    2. (b)

      as are shared with other premises; and

    3. (c)

      as are built or converted by the developer together with the property;

  • “commencement date” means the day the new homes warranty commences;

  • “continuous structures” means premises that share common foundations;

  • “damage” includes water ingress;

  • “financial compensation” relates to the actual costs incurred in the carrying out of remedial work to the property by a person other than a warranty provider;

  • “policy-holder” means—

    1. (a)

      the owner of the property for the time being; and

    2. (b)

      the party to the new homes warranty for the time being (not being a warranty provider);

  • “structural features” means—

    1. (a)

      foundations;

    2. (b)

      walls bearing normal residential loads;

    3. (c)

      non load-bearing partition walls;

    4. (d)

      wet-applied wall plaster;

    5. (e)

      external render and vertical tile hanging;

    6. (f)

      load-bearing parts of roof;

    7. (g)

      tile and slate coverings to pitched roofs;

    8. (h)

      ceilings;

    9. (i)

      load-bearing parts of floors;

    10. (j)

      staircases and internal floor decking and other floor screeds intended to support normal residential loads;

    11. (k)

      retaining walls necessary for structural stability of the property;

    12. (l)

      double or triple glazed panes to external windows and doors;

    13. (m)

      under-ground drainage that the policy-holder is responsible for maintaining; and

    14. (n)

      chimneys and flues;

  • “warranty period” means the period of time during which the new homes warranty exists; and

  • “warranty provider” is any person who does one or more of the following—

    1. (a)

      offers the new homes warranty to an owner or potential owner of the property;

    2. (b)

      effects the contract of insurance which is the subject of the new homes warranty;

    3. (c)

      carries out such a contract;

    4. (d)

      deals with such a contract as an agent;

    5. (e)

      makes arrangements for another person (whether as principal or agent) to buy, sell, subscribe for or underwrite such a contract;

    6. (f)

      makes arrangements with a view to a person who participates in such arrangements buying, selling, subscribing for or underwriting such a contract (whether as principal or agent);

    7. (g)

      assists in the administration and performance of such a contract;

    8. (h)

      advises a person (in that person’s capacity as a policy-holder or potential policy-holder) on the merits of such a contract; or

    9. (i)

      agrees to carry out any of the activities specified in sub-paragraphs (a) to (h), and

    where there is more than one warranty provider in relation to a particular new homes warranty, “warranty provider” refers to any of those persons.