WA’s building regulator is reminding consumers to check that home indemnity insurance (HII) is in place before making payments for residential building work valued at more than $20,000.
The advice from Building and Energy – part of the Department of Local Government, Industry Regulation and Safety – follows a $12,000 fine against Swan View building practitioner Shane Alexander Lynn (BP14529) for two home building contract offences.
Armadale Magistrates Court was told Mr Lynn’s company, CASM Construction Pty Ltd (BC103190, expired), now in liquidation, was contracted in 2024 to renovate the kitchen, bathroom, ensuite and laundry of a Rossmoyne house.
As the project value exceeded $20,000, the builder was legally required to take out an HII policy before starting work or seeking payments. HII protects owners against financial loss if a builder cannot complete or rectify building work due to insolvency or other specific circumstances.
The court heard that Mr Lynn, on behalf of CASM, started work and received money without ever obtaining an HII certificate for the Rossmoyne project. CASM, through Mr Lynn, also sought and received progress payments of more than $53,000 for tiling work when the company had not purchased or installed any tiles.
Mr Lynn pleaded guilty to breaching the Home Building Contracts Act 1991 and was fined $7,000 for the HII offence and $5,000 for the unjustified progress payments.
At sentencing on 23 January 2026, Magistrate Joe Randazzo also ordered Mr Lynn to pay $676.50 in costs.
His Honour acknowledged Mr Lynn had experienced personal difficulties but noted he should understand contractual matters after 30 years in the industry. His Honour described the offences as “serious” and recognised that people entering building contracts could be vulnerable.
Building Commissioner Phil Payne said the case clearly showed why builders must uphold their responsibilities under home building contract laws.
“It is unacceptable for builders to disregard HII requirements and to take money before carrying out the corresponding work,” Mr Payne said.
“Company directors should also take note that they will still be held accountable even if their business is insolvent.
“I encourage consumers to thoroughly read the building contract, ensure HII is in place for residential building work over $20,000, and only pay for goods or services when they are provided.”
To confirm the validity of an HII certificate, homeowners can search QBE’s Builders Warranty Insurance Certificate Register.
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Media contact: BEmedia@lgirs.wa.gov.au
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