13 Sep 2017 Builders Risk Insurance – Why You Need It
Congratulations! Building a new home or making new renovations is exciting. And the great part is, you get to design the entire thing yourself! You’ve been planning for so long. In fact, HGTV seems to be the only channel your TV knows lately (not to mention the Pinterest boards you have set up for every room in the house).
After much thought, you have your plans in order… but you’re missing one thing. Builders risk insurance.
So what is builders risk insurance? Why do I need it?
Let’s start with the basics. Builders risk insurance protects a structure while it’s under construction. It should be purchased before construction starts, and can be bought in short or long-term policies. This insurance coverage is quite versatile. Policy holders can apply it to new construction, remodeling, and installations.
Builders risk insurance can help cover you damages that may occur during the building process. These may include fire, theft, accidental injuries or damage by others.
How much builders risk insurance do I need?
The total project value determines the amount of builders risk insurance needed. Included in this is the total cost of building and designing the property, labor expenses, overhead costs, and additional materials.
Is my contractors’ insurance enough?
Although your contractor has insurance, this isn’t enough. Getting personal builders risk insurance provides you with additional needed coverage and protection. It also covers more than your traditional homeowners insurance. In the case that you are working as your own general contractor, you still need to have builders risk insurance.
Getting builders risk insurance is easy! Give us a quick call at (800)-941-3317, and we’ll do the research for you! All we need from you is:
- The location of the project.
- The details of the work and cost of the project.
- Approximate completion date.
- The contract between you and the contractor.