Recently I read an article in one of my electrical trade magazines and was shocked by a new trend developing called Recall Insurance.
It seems tradesmen are now responsible for the dodgy products available on the market. I accept the logic. If I purchase products online from overseas and they are not approved for the Australian market, as a tradesperson, I should be liable if they break down or cause damage.
Products purchased in good faith in Australia, though, should be covered by the manufacturer for recalls or faults. But if a manufacturer goes belly-up then I am left holding the can for the costs to replace/repair the product with no means of recompense. How can that be fair? This supposedly is what this new insurance will cover.
We need to heed the advice ‘Buy from Reputed Suppliers’ and ask questions regarding warranty and replacement. There are good manufacturers and suppliers out there, just look a little bit harder and pay a little bit more.
Did you know that Recall Insurance is a major growth area for insurance companies? Crikey! Don’t worry about fixing the problem of faulty electrical products coming into Australia — hell no! Lets make folks pay for another insurance policy instead. This means we will have to keep putting up our prices to cover extra costs.
This doesn’t just affect us trade folk, but also retail and wholesalers will be forced to take out Recall Insurance if this madness keeps on spiralling out of control.
Be warned, electrical fittings purchased cheaply on the net will unlikely be installed by your electrician if the fitting isn’t approved for the Australian market, because the electrician will be liable.
By the way, I Googled Recall Insurance just to check that I wasn’t panicking about nothing — I nearly fell off my chair. I am off to investigate how much this insurance will cost, then I’ll need a walk I think, just to make sure I’m still living on planet earth.