Tawuniya's Inherent Defect Insurance (IDI) Product: Safer Buildings, Safer Communities Qorus-NTT DATA Innovation in Insurance Awards 2026

Concept and objectives

Inherent Defect Insurance (IDI) is a long-term protection model for real estate that covers hidden defects caused by design, materials, or construction in critical building elements, safeguarding occupants well after handover. Its objective is to institutionalize construction quality through structured technical oversight, while delivering an auditable, end-to-end journey from pre-construction issuance to post-handover protection.

Reasons behind

Latent structural defects often surface after occupancy, creating high financial exposure, disputes, and loss of trust in construction outcomes. Tawuniya's IDI product was created to protect owners from these long-tail risks, reduce uncertainty during high-stress events, and elevate construction quality and sustainability in Saudi Arabia in line with Saudi Vision 2030.

State of competition

Market alternatives typically rely on fragmented warranties, contractor-driven liability, or limited covers that do not enforce consistent governance across stakeholders. IDI differentiates by combining mandatory protection with standardized inspection oversight and connected digital workflows that align contractor, inspector, and owner needs.

Sources of inspiration

Global latent defect / decennial-style protection approaches, risk engineering best practices, and Saudi Building Code-aligned quality governance translated into a Saudi initiative that couples insurance coverage with supervised technical inspection and digital traceability.

Departments involved

Product & Underwriting, Risk Engineering, Claims, Legal & Compliance, Operations, Digital/IT, Partner Management (inspection entities), Sales/Distribution, Customer Service, and Marketing/Communications.

Main results so far

Delivered a connected ecosystem and operating model across three stakeholders: a contractor dashboard for pricing, issuance, inspection scheduling, and secure documentation; an owner-centric policy and claims experience with end-to-end tracking and instant document access; and an inspector portal enabling standardized site execution, evidence-based reporting, and compliance verification under Tawuniya supervision.