Royal & Sunalliance (RSA) is launching a new inherent defects insurance policy. The new product offers cover against the cost of repairing, restoring and strengthening a building, where the damage has been caused by problems in structural elements, non-structural elements such as weatherproofing or waterproofing and mechanical and electrical services.

Inherent Defects has been developed in consultation with the Association of British Insurers and the British Property Federation. It is available for 12 years from the date of practical completion of the building.

Richard Elliott, manager of RSA's property investors unit said: “This product will provide property owners with the most extensive defects protection yet.”

There is a provision to make annual payments, allowing property owners to spread the premium payment, rather than paying for the full term upfront.