What is the “garantie dommage-ouvrage” insurance?
Are you planning to carry out construction or renovation work through a professional? In France, certain insurance policies are mandatory, including construction defect insurance (“garantie dommage-ouvrage”). Here’s everything you need to know about how it works, its duration, and what to do in the event of a claim.
This French insurance, known as “garantie dommage-ouvrage”, is mandatory in many construction projects to protect owners from costly delays in structural defect repairs.
What is construction defect insurance?
Construction defect insurance is a mandatory insurance policy that complements the ten-year structural warranty. It allows for a quick reimbursement of repairs covered by the ten-year warranty, without waiting for a court to establish responsibility.
It is legally required for all project owners except individuals building a home for themselves or a family member. While not mandatory in such cases, it is strongly recommended for better protection.
Professionals who fail to take out this mandatory insurance may face a fine of up to €75,000 and/or six months of imprisonment.
What does it cover?
According to the Spinetta Law, this insurance covers:
- Construction defects (including those related to soil) that affect the structural integrity of the building
- Defects that render the building unfit for its intended use (uninhabitable or unusable)
It does not cover:
- Minor defects (cosmetic issues, fittings, etc.)
- Damage caused by fire or natural disasters (covered by other specific insurance)
How long does it last?
The construction defect insurance is valid for 10 years from the date of work acceptance, under the same conditions as the ten-year warranty.
What to do in case of a claim?
If a serious defect appears:
- Send a registered letter with acknowledgment of receipt to your insurer to declare the issue.
- The insurer has a 60-day period to respond and 90 days to propose compensation.
- Once the offer is accepted, the compensation must be paid within 15 days.
If the insurer fails to meet these deadlines and you’ve already started repairs, the compensation will be increased with interest equal to double the legal rate.
Summary: Key points to remember in 2025
- Mandatory for all project owners, except individuals building for personal use
- Valid for 10 years from the date of completion
- Allows for quick compensation in the event of major defects
- Covers only serious structural damage
To avoid legal and financial risks during your construction project, don’t overlook this essential insurance policy.
