Construction Insurance could be protecting your competitor from financial loss on their projects. Is yours? Therefore, you can insure against many expensive loss events on site with Builder’s Risk Insurance. This will protect their client’s building. Furthermore, it means they don’t have to worry about accidents happening, and they can focus on delivery.
If you don’t have Builder’s Risk you could be losing out. So what is it and how can it help you? Let’s talk about Builder’s Risk and where you can get it.
What is Builder’s Risk insurance?
Builder’s Risk is property insurance that insures you against many events that can happen in the construction process. It is also known as Course Of Construction Insurance.
What construction projects does it apply to?
This insurance is specialized coverage and it applies to certain types of construction work. It includes new buildings as well as renovations of existing ones. It also applies to the installation of fixtures such as plumbing and electrical works. As such other types of projects include remodeling of a building and restructuring (like reinforcing a building).
Does it have a start and end date?
A Builder’s Risk policy is for the duration of the construction. It has a commencement date which should be when work begins. Once you complete a project is completed, you’ll need a new policy such as Building Insurance. A policy is typically for 6, 9 or 12 months, depending on what you need, and you can extend it if necessary. Moreover, purchase it at the beginning of the project, or before 30% of the project is complete.
What coverage does it give?
This construction insurance is custom made for your unique project and business. A typical policy covers fire, theft, vandalism and wind. Other inclusions can be for special equipment, debris removal in the event of an accident, clean up of site after contamination, and even coverage for temporary structures like scaffolding. Thus, when you buy your policy from Contractor’s Liability our agents will customize your policy so you have coverage for the risks unique to you.
Are there exclusions?
There can be some exclusions depending on your policy provider. As such, examples of exclusions are poor workmanship or an error in design. On top of that, it excludes dishonest or illegal acts from employees. Like all insurance, it is important to understand what is you can include and what you cannot. Furthermore, our agents can talk you through this detail so you know what coverage you have.
Who can get it?
Developers, contractors, building owners, and homeowners purchase Builder’s Risk. To purchase a policy you must have insurable interest in the building, and you need two years of experience in construction.
Speak with insurance experts for better Construction Insurance
Builder’s Risk coverage isn’t mandatory but it gives you so many advantages it is highly recommended. Moreover, there are many things to worry about in a construction project, but financial loss due to events like theft and damage does not have to be one of them.
Do you have more questions about how this construction insurance can help you? Speak with our experts at Contractor’s Liability at 866-225-1950.