What is Byg Garanti?
Byg Garanti covers a customer’s losses as a result of errors and omissions relating craftsmanship if a member of DI Dansk Byggeri has lost a case at the Construction Appeals Board, but cannot comply with the decision – for example due to bankruptcy, death, termination etc. Byg Garanti covers up to DKK 150.000 incl. VAT* per construction case, valid per July 1, 2017.
As a member of DI Dansk Byggeri, your work for private customers is covered by Byg Garanti. There are many consumers who are happy about this. Therefore, Byg Garanti not only gives customers a sense of security – but additionally gives you a competitive advantage.
*As stated in AB-Forbruger § 5, all amount statements include VAT.
What does Byg Garanti cover?
Byg Garanti covers work performed for private customers on their private residence
- One -or two family homes
- The consumer’s own condominium or cooperative housing cottages
- Private housing in connection with mixed housing and business, including farmhouses for agriculture
- Rental housing – if the work is ordered and paid for by the tenant himself
- Applies to the customer who has entered into the agreement with the craftsman
Byg Garanti covers the following work
- Byg Garanti covers losses as a result of craftsmanship deficiencies in work carried out on the customer’s private home when the work has been agreed with a member of Dansk Byggeri
- Byg Garanti covers roofing work if the company is a member of Dansk Tækkemandslaug when the agreement is entered into
- Byg Garanti covers roof painting work if the company is member of DI Dansk Byggeri Tagmalerforening when the agreement is entered into
- Byg Garanti only covers members of Dansk Byggeri. This means that a number of professional groups are not covered, including for example plumbing and electrical installers.
Byg Garanti does not cover
- Work on rental properties, condominiums and condominiums is not covered by warranty when it is a type of work that is usually performed as joint work and paid as joint expense. Thus, the Building Guarantee does not cover if the client (the party to the agreement) is an association.
- Works on commercial properties are not covered by the guarantee scheme.
- Consequential damages or indirect losses are not covered
- Byg Garanti does not cover claims due to defects or deficiencies in construction and earthworks
- Byg Garanti does not cover work that forms part of a new construction with a total contract price of more than DKK 1,000,000 incl. VAT.
- Defects in materials are not covered
Marketing with Byg Garanti
Remember that you may only advertise with Byg Garanti on offers, contracts or invoices in the cases where Byg Garanti covers.
This means that if, for example, you submit a tender for a new building with a contract price of more than DKK 1 million. DKK incl. VAT or offers to an owners’ association, you may not advertise with Byg Garanti in this connection. Therefore, it is important that you adjust offers, contracts and invoices if you perform work that is not covered by Byg Garanti – so that the customer does not get an expectation that the work is covered by the guarantee.
You can read more about how you can advertise with Byg Garanti here.
Terms of Build Warranty
Build Guarantee only covers the consumer who has entered into the agreement with the craftsman
The consumer must complain to the craftsman within a reasonable time and after the defect is or should have been discovered
The maximum amount that can be covered will be calculated on the basis of the Construction Appeals Board’s ruling, a judgment, an arbitration award or an expert assessment.
The claim must not be obsolete
Read about the guarantee terms in Byg Garanti’s articles of association.
For how long does Byg Garanti cover?
After the work is completed, the warranty covers for up to three years for visible defects and up to ten years for hidden defects. However, provided that the company is a member of DI Dansk Byggeri when the agreement is entered into.