A third building surveying firm is signalling it may close in September, as the building industry insurance crisis deepens.
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Metrics Group's Gabriel Barnes of Launceston said on Tuesday his business would have to make $50,000 a year just to cover insurance costs.
"My insurance is likely to go up from $12,000 to $30,000 plus by September.
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"My broker says it's a moving feast and they can't give me a quote.
"The excess would go from $7500 to $20,000. I must budget for at least one claim a year."
Mr Barnes said a big problem was that Tasmania dumped its building indemnity insurance in 2000 and didn't replace it. When there were problems, lawyers looked for damages payments.
I have little confidence in our state regulator. They've said nothing to nobody about insurance for two years.
- Metrics Group's Gabriel Barnes
"They look at who has the capacity to pay and that's the building surveyor - who has professional indemnity insurance.
"As soon as we get dragged in we have to report to our insurer, then we have to follow up with a cheque for the excess."
Even with an unfounded claim, they get no refund.
Mr Barnes said he had no faith in the Consumer, Building and Occupational Services (CBOS).
"I have little confidence in our state regulator - they've said nothing to nobody about insurance in two years."
A CBOS spokesperson said it always wanted to hear from building surveyors.
CBOS allows building surveyors to 'raise concerns'
"CBOS has met with many surveyors over the last two to three years, allowing them to raise concerns, and also maintains a close relationship with the Tasmanian chapter of the AIBS to provide an opportunity for the building surveyor industry to consult."
CBOS said it had 'actively engaged' with national groups. "The PI insurance issue is a national issue caused by internationally based insurers and therefore must be addressed through a national response."
CBOS could not clarify how local councils would manage the unfinished building jobs left by building surveyors that had gone bust.
Council predatory pricing not helpful
Mr Barnes also alleged that some councils were undercutting private building surveyors by hiding many overheads, with the tab being picked up by ratepayers.
"Councils have been found guilty in the past. It's not about shutting them down, we want them to play fair."
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