Builders risk insurance provides essential protection for properties that are currently under construction.

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Protect your property effectively during the construction phase with builder's risk insurance.

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What builders risk insurance covers.

The primary areas of coverage include damages resulting from incidents such as fire and hail storms. Additionally, coverage typically extends to theft and vandalism (with the exception of actions taken by employees), as well as damage incurred by vehicles or aircraft impacting the building. To ensure that coverage levels are appropriate, policies are often established at a predetermined percentage of the total construction budget. It is important to verify the duration of the policy, as it generally does not permit repeated extensions of the construction timeline.

What types of coverage are included with a builders risk policy?

This policy generally encompasses coverage for the structure itself, comprehensive liability, equipment malfunctions, in addition to ordinance and regulatory compliance.

Under construction? You might need this coverage.

Builders risk insurance serves as a specialized form of property insurance designed to cover the duration of construction on a property. While property owners can obtain such policies directly, it is more typical for them to require that contractors secure this coverage on their behalf.

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Do you need builders risk insurance?

Whether you are the client or the contractor overseeing the project, obtaining this coverage is essential. Property owners, contractors, subcontractors, lenders, and architects are the primary stakeholders who typically benefit from this coverage.

Coverages that are not included.

It is essential to understand the limitations of what insurance policies do not encompass. Unless explicitly specified, coverage may not extend to particular heightened risks, such as flooding at beachfront properties or seismic activity near fault lines. Furthermore, it does not account for injuries incurred by employees, indicating that you will still require any legally mandated workers’ compensation insurance coverage.

Do you require builder’s risk insurance to safeguard your property during construction? Please reach out to us to discuss the specific needs of your property and the available coverage options.