Answers to the most common questions regarding our policies >
What is a Deposit Protection Insurance Policy?
Deposit Protection Insurance insurance provides protection against the loss of the policyholder’s deposit payment, where the contractor has collected the deposit payment, but has ceased to trade and is- as a consequence- unable to complete the proposed works.
The purpose of the insurance is to complete the proposed works. Typically, where a valid claim is made on the deposit protection insurance, the insurer shall instruct an alternative firm to complete the proposed works, with the policyholder paying the outstanding balance that would have been due to the original contractor, and with the insurer contributing the shortfall in cost.
The maximum limit of the insurer’s liability under the policy is the amount of the deposit payment; or 25% of the contract value; whichever is the lesser.
Please see below an example of this insurance in practice;
|Deposit Value||Contract Value||Outstanding Value||Like For Like Quote||Amount Due to Complete Installation||Payment from insurer|
What is an Insurance Backed Guarantee?
The Insurance Backed Guarantee provides cover against the defects in the insured risk which are covered by the contractor’s own written guarantee; where the contractor has ceased trading.
For the purposes of the insurance backed guarantee: A defect is a physical fault or error in the insured risk which is caused by the defective workmanship of the contractor or defective materials provided by the contractor; but which only form the basis of a valid claim where the same is covered within the contractor’s own written guarantee.
Why do I need to provide this cover?
Insurance backed guarantees provide peace of mind to customers; by ensuring that your guarantee will be honoured even if you cease trading.
This builds a stronger, more robust after sales package for customers; and strengthens your credibility. Additionally, certain organisations such as competent person self-certification schemes; and certain trade bodies may- as part of their scheme rules and membership terms- require that you provide insurance backed guarantees to your customers.
What does cease to trade mean?
For a definitive definition of what QANW class as cease to trade, please refer to the below extract from our current policy;
Ceased Trading means ceasing to trade by reason of Liquidation (whether voluntary or involuntary), Receivership, Administration, Strike-Of or Dissolution in respect of a Limited company, Bankruptcy, Retirement, total incapacity or death of the principal(s) in the case of a Sole Trader or Partnership, or any other reason where suitable proof can be exhibited to the Insurer to confirm that the Contractor is no longer trading in any shape or form.
How long does the policy last?
QANW offer a wide range of products and services, all of which are subject to their own terms and conditions, dependent on the needs of that policy.
You will be provided with exact details of cover offered when you review the relevant product details. Generally, our deposit cover will run for 120 days from date of deposit payment and our insurance backed guarantees will run for 10 years from date of completion of works.
How much will it cost?
QANW offer a range of products and services, all have their own pricing due to risk appetite.
To select the most appropriate product for yourself, please view our complete range of policies here.
Can I bill my customer for this insurance?
The insurance is designed to be freely provided to your customer.
This is because, in order to arrange insurance as a business proposition, a company must be regulated by the Financial Conduct Authority, which is the independent watchdog who regulates the conduct of financial services firms in the UK. QANW is regulated in this manner and is able to sell insurance products accordingly. This being the case, insurance must only be provided freely to your customers, as an incidental part of your commercial offering.
How do I register my contracts with QANW?
Once you have applied for membership, and have been accepted, you will receive a welcome pack with these details and the method of submission.
For the most part, members will receive information on how to set up their online members account to submit all contracts. You can submit your contracts within the QANW members area; however further fee’s will be applicable for this service.
Can I view or get a copy of the policy of insurance?
Yes – On the members’ area you can view a copy of the policy of insurance; this is purely a copy and is watermarked as such. You should not pass this to your customer for any reason whatsoever; QANW/GPI will continue to issue your customers with the policy of insurance.
I can’t log into my account?
You may not be able to access your account due to either your account being locked or you are using the wrong details. If the password being used is incorrect, then you can follow the ‘forgot your password’ section, but if the email address is wrong, please call us to confirm.
If your account has been locked, you will be advised when attempting to log in and you should contact QANW in order to gain more information in this regard. You must enter the email address registered for the account as User ID, rather than the membership number.
I can’t find a job?
If you cannot locate your job within the online member’s area, it is most likely in the QANW archive; however, should you require any details on this, please contact us.
I need to amend/cancel a job, how do I do this?
Should you require to change any policy details, you will be required to phone or email these to QANW and quote the ID number generated by the system and confirm the changes or action required.
If a policy has already been issued, there will be an admin fee of £12 applicable to amend the details. Please contact us for information In respect of fees for cancellations.
I haven’t received or can’t find my Proforma invoice?
Proforma invoices should be available from the 1st working day of the month.
However, if you cannot source this or need one from before June 2014, please contact us in order to obtain one.
Why have I been charged a non-use fee?
A non-use fee is collected where no job has been entered via the online member’s area within a calendar month.
Do I have/get a membership certificate?
Yes, if you are on our CGFC or GFFC schemes you can access your membership certificate via the members’ area, simply click on “Membership Certificate” on the top bar to download your copy.
Does my chosen membership tier (QA Standard, QA Plus, QA Premium) affect the level of cover provided to my customers?
No, the membership tiers relate to different membership benefits, but the insurance cover provided to your customers remains the same.
When will my customer receive their policy documents?
Most Direct Debit payments are collected on a monthly basis, on or around the 1st of each month.
As this payment clears, the documents are issued to your customers via 2nd class post approximately 1 week later, meaning the policy documents are usually received by your customers around the 3rd week of the month. If customer email addresses are provided during the time of submission, the policies are emailed without delay after premium has been settled.
What are the ‘Tasks’ on my members’ area and what am I required to do to resolve these?
CPS Data- Not Matching: These tasks are for Fensa members only and relate to jobs that have been registered through Fensa and have failed to match against a job registered with QANW. These must be either accepted or queries can be made bu contacting our office directly.
Pay Proforma Invoice: These tasks relate to any invoices that have been raised outside of the Direct Debit cycle and must be settled. These payments can be settled by card, cheque or BACS or you can opt to add payments back into the next Direct Debit run.
Deposit Extension: This is where records of any deposits which have expired will be shown. Standard Deposit Cover is valid for a period of 120 days, meaning when cover has exceeded this time, you will be notified via this task facility. These jobs either need to be signed off as complete or have a request for deposit cover to be extended.
Contract Value Query: Jobs will flag if there is an abnormal contract value. These values should be checked and confirmed if flagged here.
Complete Jobs: Jobs shown here need to be signed off as completed.
Possible Duplicates: Jobs shown here will flag as we suspect they are duplicates. These jobs should be checked and confirmed to be either duplicates or multiple requests for the same address.