Construction Insurance Information
Builder’s risk insurance can provide coverage for hazards during construction or renovation projects. The building, materials and supplies are exposed to several risks during the course of a job, and the right policy can offer financial safeguards is this property is damage, lost or destroyed.
Each situation is unique, and the agents at Southwestern Insurance can help you obtain a builder’s risk policy that fits your needs. Contact us today for additional information.
What Does Builder’s Risk Insurance Cover?
Builder’s risk insurance may cover several types of property during a project, including:
Residential or commercial buildings under construction.
Building materials and supplies at a job site, in transit or stored off-site.
Additionally, policies may be available to cover debris removal, loss of construction-related documents (e.g., blueprints) or damage to temporary structures (e.g., signs).
Coverage for losses of “soft costs” due to delayed construction as a result of property damage may be obtainable as well. These costs may include additional taxes, architect’s fees, penalties or lost rental income.
Who Needs Builder’s Risk Insurance?
Typically, either the general contractor or project owner purchases builder’s risk insurance for a project. Other parties with a financial interest in the project may then be listed as additional insureds. These could include the following:
When Does Builder’s Risk Insurance Provide Coverage?
Builder’s risk insurance is a temporary policy connected to a construction project. Coverage may begin when the job’s contract is signed, and it may end when:
The policy expires or is canceled.
The building is occupied.
The project has been finished for an established number of days (e.g., 30 or 90).
Policies may contain specific provisions that start or end coverage for other reasons. It is essential to note these terms to ensure protection during the desired times.
How Much Does Builder’s Risk Insurance Cost?
The cost of a builder’s risk insurance policy varies. Numerous factors, including the size, location and type of the project, the property being insured and the amounts of coverage selected could affect the premium.
Contact Us Today
The experienced professionals at Southwestern Insurance can help you find the optimal builder’s risk policy. Contact us today for more information or a quote.