Building homes and neighborhoods takes complex – and often dangerous – work. We don’t need to tell you that sometimes (ok, a lot of times) accidents happen.
A Builder’s Risk Policy is designed to protect your projects while construction is still in progress. We cover the value of the property until your building is ready to occupy.
In the case that emergency strikes, here are the details you need to know about what’s covered. You might find it’s more than you expected …
- The value of ALL materials at the job site and some materials still in transit to the project.
- Soft Costs (expenses for the building process other than materials)
- Real Estate Taxes
- Consulting Fees
- Advertising and/or Marketing
- Equipment Rentals
- Refinance Charges
- Architectural & Engineering Expenses
Your policy can be written to cover an entire structure – for new build, rehab & renovation projects – or we can cover a specific space within a structure such as a room addition or kitchen / bath remodel.
To learn some of the key terms for insuring the place you live, view the vocab list on our Homeowners Insurance page.
What do these “emergencies” generally look like?
A Course of Construction policy covers calamities like fire, wind, storms, lightning, hail, theft and vandalism. Limited coverage may be provided for structural collapse during construction.
Who exactly is covered?
Usually it’s the contractor who’s the named insured of a builder’s risk policy or the developer of the property. In some cases it could be the building or homeowner if they take on responsibility for insuring the property while under construction.
How long does the coverage last?
We typically offer 3, 6 & 12 month options. However, all Course of Construction policies are project specific, so give us a call to talk about what you have going on. If you have multiple projects going on in a given year you can do a reporting policy. The reporting form is frequently used by contractors who have numerous jobs going on simultaneously and can be used to insure all of them under a single program of coverage. The policy can be tailored to include automatic coverage for new locations, usually requiring that they be declared within a stated number of days from the start of construction.