The building damage fund for urban renewal (BvB)

The Building Damage Fund (BvB) is an independent foundation established by the Danish government in 1990. It is part of the Danish Quality-assurance and Liability Reform, - established in order to prevent damages and other problems in the building process in urban renewal.

The Fund has four responsibilities passed by law:

• To support the repair of building damages
• To inspect the urban renewed buildings 1 and 5 years after the completion of the renewal
• To communicate our findings and knowledge concerning the prevention of future building damages to the building sector
• To participate in other activities that can improve and promote quality and efficiency in construction

Building inspections as well as projections of damage repairs are carried out by approximately 25 architectural and engineering firms throughout the country. The dissemination of best practices and other knowledge is being carried out in close and collaboration with public authorities, organisations, educational institutions and partners within the Danish building sector. 

The Quality-assurance and liability Reform as well as the work carried out by the BvB and other collaborators has had a massive influence and has greatly reduced defects and damages in urban renewal. 

The Fund is responsible to the Ministry of Social Affairs. All buildings that have received subsidy to urban renewal after 1990 are required to comply with Fund regulations, meaning that the building process must be quality-assured; the buildings must be maintained in accordance with detailed instructions and subjected to inspections 1 and 5 years after the urban renewal.

The Fund may be considered as a kind of insurance arrangement for which the municipality must pay a premium of 1, 5 % of the total renewal costs. "Membership" is compulsory for all subsidized buildings. In return the Fund provides the building owners the right to compensation for up to 95 % of the costs of the repair of building damages.

Most building damages occur as a result of disregard of common knowledge, - of well known technical knowledge or is due to ignorance of how to handle materials and components. Some of the most common registered damages are seen in connection with:

• Unstable roof constructions
• General problems with under roofs - products and the carrying out
• Insufficient prevention against ascending ground water
• Moisture damages in bathrooms
• Installation damages