12 Apr 2016 6 Things to Understand About Builders Risk Insurance
- Builders risk insurance protects a structure while it’s under construction making the need for coverage time sensitive.
- Builders risk insurance should be purchased before construction is started. Often time policies are set to provide coverage as of a specific date.
- Individuals, business owners, contractors and even financial institutions are all parties that could potentially have the need for a builders risk insurance policy. Either the property owner or the property builder can purchase builders risk insurance.
- Builders risk coverage can be purchased for a wide range of construction projects; the three common categories include new construction, remodeling and installations.
- The amount of builders risk insurance should be the total completed project value. This includes: the total cost of building and designing the covered property, labor expenses for the project, overhead costs and any materials needed. The land value is not included within the total project value.
- Any changes to the project’s completed value should be reported to your independent insurance agent when they’re realized. Your agent will then submit a policy endorsement request to the insurance company to ensure your builders risk policy encompasses your total project.
If you have questions about builders risk insurance or think you have a project that you’ll require this sort of coverage, give us a call. We are happy to answer any and all questions you might have.
*Authored by Amanda Spittell.
[action full_width=’yes’ content_in_grid=’no’ type=’normal’ icon=” icon_size=” icon_color=” custom_icon=” background_color=” border_color=” show_button=’yes’ button_text=’Get In Touch ‘ button_link=’https://berryinsurance.com/contact/’ button_target=” button_text_color=” button_hover_text_color=” button_background_color=” button_hover_background_color=” button_border_color=” button_hover_border_color=”]
For more information about this topic, or to get answers about your current insurance situation, stop by our office in Franklin, Massachusetts or give us a call at (800) 941-3317.