Builder’s Risk Insurance is a type of Inland Marine coverage that is specific to either new construction or remodeling/updating of existing structures. The typical policy will provide coverage for the owner as well as all of the contractors who are involved with the construction of the building. The policy will cover building materials intended to become part of the structure, whether the materials are located on the construction site, are in transit to the site or in temporary storage awaiting delivery to the site.
The policy is normally an All Risk coverage intended to be very broad and even though Flood and Earthquake are excluded in the form, they can be included for an additional premium. There are many coverage details that are extremely important in writing an effective Builder’s Risk policy. Our staff has the in-depth knowledge to properly evaluate the many exposures presented with this coverage.
The coverage can be amended to include loss of income due to the project being delayed because of a covered loss as well as soft costs that are incurred due to such delays. Soft Costs cover additional expenses that will be incurred when a loss occurs such as architect’s fees, insurance premiums, interest payments on construction loans and other such expense items.
While Builder’s Risk coverage is relatively common, it takes a great deal of experience to be able to handle in the correct manner. HM has completed many projects ranging from under $100,000 to over $1 billion in values.
Click here for information about Green Builder’s Risk Insurance.