Loss of Deposit Insurance
How it works
Deposit Release cover is a type of surety that allows a property developer to release and utilise any deposits for residential units purchased off plan whilst providing assurance to the purchaser that their deposit is safe.
In some cases this is provided by the developers warranty Provider (NHBC, Premier Guarantee etc.) however these organisations only cover up to £100,000 per unit or £2m per developer. This means most prime or large scale residential developments are underinsured when it comes to loss of deposit.
As a developer of residential stock you need to be sure that you have the right levels of cover in place, this is where we can help by providing a loss of deposit facility for where the deposit taken of any given unit is in excess of £100,000 or the development will take deposits in excess of £2m.