Keeping a lid in claims cost, amid engineered stone ban

CRD Building Consultants & Engineers has moved to remind the insurance industry of several notable exceptions and nuances attached to the ban on engineered stone, following the new rules coming into force back in July.

Michael Sander, engineering technical lead for Crawford's CRD, said that insurers would be well served to understand the detail because the price difference between natural stone and man-made alternatives is often significant.

"Claim costs can easily skyrocket if assessors and builders don't fully understand the new rules and assume it's a total blanket ban,"

he explained.

"In actual fact, certain minor works on existing products which are already installed are allowed; the ban doesn't apply to minor repairs or minor modification works. Therefore, Scope of Works for insurance claims should be heavily scrutinised if those works involve kitchen or bathroom benchtops.

"Things such as crack repairs to engineered stone surfaces with liquid resin and then repolishing are acceptable. Also drilling a hole in a benchtop to install a new PowerPoint or sink is also okay under the new laws. But, before carrying out these kinds of repairs or modifications, the legislation does stipulate that the relevant state-based workplace health and safety body must be informed and approval sought," Sander explained.

Repair works which are allowable under the legislation must be accompanied by a Safe Work Method Statement, that should be submitted to the insurer.

Australia has become one of the first countries to enact engineered stone legislation over safety concerns. It is now widely accepted that silica dust, which is released into the air during manufacture, cutting and polishing of engineered stone, can penetrate deep into a person's lungs, ultimately leading to silicosis. Regulations were bolstered further from 1 September this year, and now also apply to materials with just 1% crystalline silica.

Sander cautioned that where a full replacement of a benchtop is necessary, "like for like" replacement is not permitted.

"There is detail to this legislation which is critical to understand; not all engineered stone is created equal. There's engineered stone and then there's engineered stone. For the purposes of the ban, it's engineered stone with more than 1% crystalline silica content that is the prohibited type. But it is possible to replace an engineered stone benchtop with an engineered stone benchtop.

"Builders should be looking at the closest alternative silica-free stone-like products because there are many available on the market such as Evo Stone®, Meganite®, Corian® and Dekton® … all these have less than 1% silica content and are usually a lot cheaper than natural stone such as marble, granite or quartzite," he said.

Engineered stone containing more than 1% crystalline silica is prohibited from being manufactured, supplied or installed. Transition periods are in place up until 31 December 2024 and vary between states and territories. Each state/territory jurisdiction implements the ban separately through their respective workplace, health and safety regulations.

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