The NSW Government has released a discussion paper seeking feedback on its proposals to reform the building industry.

One suggestion involves setting up a registration scheme for building designers and requiring them to have relevant insurance to protect themselves and clients against losses caused by negligence or breach of duty.

“The NSW Government does not have a position on the form of insurance to be taken out by registered ‘building designers’ and welcomes feedback on this point,” the paper says.

“It could be a requirement to hold professional indemnity insurance for claims against professional services provided (such as advice, design consultation, planning).

“Such insurance is held by other building practitioners, including architects and some engineers.”

The paper seeks feedback on types of mandatory insurance for building designers and the list of prescribed requirements, such as value and length of cover.

Other possible reform measures include appointing a building commissioner and ensuring an industry-wide duty of care is owed to subsequent homeowners.

Feedback is also sought on a proposal requiring registered building practitioners to declare plans and performance solutions are compliant with the Building Code of Australia, and to have builders declare sites are built according to plans.

The measures are part of the NSW Government’s response to a report by Peter Shergold and Bronwyn Weir on improving compliance and enforcement nationally.

Submissions are due by July 24. For more information, click here.