By
Michael Bird
November 19, 2024
•
3
min read
In this episode of Market Insights, Corey Nugent, CEO of Resilience Insurance, joins Urban.com.au CEO Mike Bird for a deep dive into the evolving role of insurance in property development. As the Australian property market faces increasing challenges, Nugent provides insights on how latent defects insurance (LDI) and risk management solutions are reshaping the industry, offering protection and confidence for developers, builders, and buyers alike.
As the property development sector grapples with rising construction costs, tightening regulations, and shifting buyer expectations, risk management has never been more critical. Corey Nugent explains how Resilience Insurance is helping developers protect their investments and reduce liabilities through tailored insurance products that ensure quality and security throughout the construction process. By partnering with developers and providing robust risk mitigation strategies, Resilience is helping to future-proof projects and build greater consumer confidence.
A central theme in the discussion is the increasing demand for latent defects insurance (LDI), which safeguards both developers and buyers against construction defects that may emerge after project completion. Nugent highlights how LDI is becoming a vital tool, particularly for high-rise residential developments, offering 10 years of protection against defects. For consumers, this coverage ensures that any issues arising after moving in will be promptly addressed, eliminating the need for costly legal action. For developers, offering LDI adds value to their properties, improving sales conversion and giving buyers peace of mind.
Nugent underscores the evolving expectations from buyers, who are increasingly prioritizing transparency and assurance when purchasing off-the-plan properties. With LDI in place, developers are seeing stronger sales conversion rates, as buyers are willing to pay a premium for the added protection and confidence that their new home will be built to the highest standards. Nugent believes that the ability to offer comprehensive insurance-backed guarantees is now a key differentiator for developers in a competitive market.
Nugent also discusses the value of early involvement with insurers throughout the development process. By conducting regular quality assurance checks from design through to construction, developers can identify and resolve potential issues before they become costly problems. This proactive approach not only reduces long-term liability but also helps preserve the financial health of developers, making their projects more attractive to buyers.
Looking ahead, Corey Nugent sees a growing demand for comprehensive risk management solutions across Australia’s property market. As the industry continues to evolve, Nugent anticipates that more developers will recognize the value of insurance-backed quality assurance in maintaining profitability and reducing risk. With increasing consumer confidence, developments that offer robust insurance coverage are likely to see stronger market performance.
.jpeg)
Speak to the team about leveraging the Urban audiences and services for your new development.
Greg Billings
Director of Residential Projects
Sonia Fava
Director
Nick Clydsdale
Senior Director
Heath Thompson
Director
Todd Matheson
Director
Thomas Panson
Project Sales & Marketing Agent
Scott Jessop
Head of Sales & Marketing
Alex Adams
Head of Sales & Marketing and
Head of New Business
%20(2)-01.png)
%20(3)_pages-to-jpg-0001.jpg)
