Master Builders Victoria has condemned the ‘reprehensible behaviour’ of collapsed builder Porter Davis after revelations today that more than 550 families who had signed contracts with the company did not have the compulsory insurance policies they’d paid for, lodged with the Victoria Managed Insurance Authority (VMIA).

Master Builders Victoria CEO (Interim) Michaela Lihou said she was shocked and appalled by Porter Davis’s behaviour, which had left hundreds of Victorian families without the insurance cover they had presumed would protect them.

“As a registered builder Porter Davis were aware of their obligations to lodge those insurance documents, which their customers had paid for in good faith, with the VMIA,” she said.

“For them not to follow such a basic procedure and leave hundreds of trusting families in the lurch is absolutely reprehensible.”

“At a time when our members are facing many challenges and working hard to support their clients, their staff and their businesses, revelations like these about Porter Davis’s apparent disregard for their clients, unfairly taints our hard working industry, which frankly deserve better!”

On Thursday morning, the Victorian government announced that it would reimburse deposits paid to the builder to around 560 families who had been identified, whose homes had not yet started being built and who were also not covered by the compulsory insurance.

Premier Daniel Andrews has estimated that the deposit reimbursement scheme for the insured clients of Porter Davis will cost about $15 million.

“In making the announcement this morning, Premier Daniel Andrews described Porter Davis’s actions as ‘quite shameful’, thankfully we know very well that this is not representative of the whole industry,” said Ms Lihou.

AVAILABLE FOR COMMENT: Master Builders Victoria CEO (Interim) Michaela Lihou

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