@LawoftheLand said:
… the SM states that if the quote is over $20K then the company/tradies must also have a HBCF insurance policy (formerly known as home owner’s warranty insurance) to do the job.  From my understanding the cost of this policy is tacked onto the quote. Have you heard of this before?  

This is part of the NSW building insurance regulations. Have a look here and at the extract below.

Regarding whether or not their insurance premium is added to the quote – I really don’t know.  But if it’s not in the quote you shouldn’t be expected to pay it.

When insurance must be provided 

Insurance under the HBCF must be provided where the contract price is over $20,000, or if the contract price is not known, where the reasonable market cost of the labour and materials involved is over $20,000, by:

• a builder or tradesperson before taking any money (including a deposit) from a home owner (including an owner-builder) under a residential building contract and before starting any work under that contract
• a ‘spec’ builder before starting any residential building work on a property owned by the builder
• a developer before entering into a contract for the sale of a property on which a builder is doing or has done residential building work for the developer.

Where the contract price or the reasonable market cost of the labour and materials involved does not exceed $20,000, there is no legal requirement to obtain insurance under the HBCF.