Claim 1 – Electrician

In this first claim a customer complained to WorkSafe after being dissatisfied with the work performed by the insured. The complaint was then referred to the Electrical Workers Registration Board. It emerged that the company had not properly supervised the work of an inexperienced tradesman, and was also alleged to have filed false and misleading certification. RCDs were not installed in bathroom sockets and other sockets were not corrected fixed to the wall.

The insured rectified the work and the customer withdrew their complaint, however the EWRB decided to pursue disciplinary action. Under statutory liability insurance the insurer paid for legal representation to prepare, defend and negotiate the best possible outcome on behalf of the insured.

Claim 2 – Builder

Our client was investigated by WorkSafe after a sub-contractor fell to their death from a beam at a Hobsonville Point construction site in May 2019. In April 2020, after almost a year of investigation, WorkSafe found sufficient evidence that the builder failed to preserve the accident scene. This could have resulted in a fine of up to $50,000, however WorkSafe decided not to prosecute in this case.

The builder’s statutory liability insurance paid for almost $20,000 in expert witness and legal fees during WorkSafe’s investigation.

Other Potential Statutory Liability Claims

 We are also aware of two builders who are currently facing fines of around $40,000 each for failing to obtain building consents for work that required it. These would also be covered by statutory liability insurance, provided their actions were not intentional or deliberate.