Halloween partygoers haunted by a horror home build will have their injuries covered by insurance.
Nineteen people were taken to hospital with broken bones, cuts and bruises after a balcony collapsed at a Ballajura home, north of Perth, in October 2009.
The home's previous owner Claudio Verini admitted to failing in his duty of care when he built the balcony in 1993.
At the time, Mr Verini was issued with a building licence from the local government and hired tradesmen to carry out the work because he did not have any trade experience.
Mr Verini instructed a carpenter to build the balcony differently to the approved plans, giving it inadequate support, and did not consult a structural engineer about the changes.
The West Australian Supreme Court ordered Mr Verini to pay damages to the 14 victims who are pursuing him for personal injuries.
While the amount is yet to be decided, Mr Verini lodged a claim with his home and contents insurance provider to cover the bill.
But the company argued their policy did not cover him because he had breached his duty as the then-homeowner, which was specified in an exclusion clause.
This week, the court ruled that Mr Verini had breached his duty as a builder - not a homeowner - because he had supervised the build, and that duty was independent of whether he lived in or owned the house at the time.
The insurer was ordered to compensate Mr Verini for the damages he'll have to pay the victims.
It will also have to pay the legal costs of Mr Verini and the partygoers.
The policy limits the compensation to $20 million.
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