Builders Risk Insurance For Homebuilders
Affordable Coverage For All Construction Projects
All construction projects, from bathroom remodels to new home construction and major commercial developments, are going to cost the producer and owner significant money. To protect your own investment in a project, get builders risk insurance. Coverage isn't just for contractors; it's for anyone involved in building projects.
Choose Dave Millet Insurance Agency to help you get the appropriate builders risk coverage. There are a lot of policy options out there, but we can make sure yours always meets your goals.
What Is Builder's Risk Insurance?
When you start a construction project of any kind, you have an interest in seeing that the work gets done properly. If problems arise, they could not only delay the project, but also cost a lot of money. Builders risk insurance can step in in these cases. It helps insured parties protect their endeavors should a damaging event occur during the course of construction.
Who Should Have Builders Risk Insurance?
Builders risk insurance isn't just for construction companies. It can help other businesses and even individual homeowners who want to undertake construction projects. More or less, if you have any money involved in the success of the construction project, then you might need coverage.
What Does A Builders Risk Insurance Policy Cover?
Builders risk policies can cover both commercial properties and residential properties. Policies can offer several sub-specifications of protection to better address the type of project in progress.
- New construction insurance applies to new construction projects, from the moment you start your work on the property. Coverage can apply until your complete the project.
- Remodeling insurance covers damage occurring to a property that is undergoing a renovation. So, if you are revamping your clothing store, coverage can assist you during the process.
- Installation insurance covers property before it gets installed into a permanent place. This can, for example, provide coverage for situation where a customer's ceiling fan that gets damaged before the technician can install it.
Some policies also offer premises liability insurance, which helps when the injury or property damage risks on the property cause harm to other parties, such as guests visiting a construction site. You might not need this coverage if you already have a liability policy on the property, however.
How Much Builders Risk Insurance Do I Need?
Numerous types of accidents might impact your property during the process of construction:
- A fire, severe weather or other hazardous occurrences might damage the project.
- A thief or vandal might access the property, cause significant damage and steal precious assets.
- Someone might get hurt on the property, causing you to have to compensate them.
- Materials in transit to the work site might get damaged in a wreck.
When these accidents occur, builders risk coverage can help you cover the costs associated with getting the project back on its feet. Your policy should contain limits that will cover the adequate replacement costs of damaged or lost materials, tools and other assets held for the purpose of the project.
How Can I Get A Quote?
It isn't hard to get the right builders risk insurance policy. All you need to do is contact Dave Millet Insurance Agency. Our dedicated commercial lines agents can help any consumer get a quote. It’s fast, free and you can be confident that we know how to adjust your coverage to include the right balance of benefits.
Frequently Asked Questions
Builders risk policies will usually cost between one and four percent of the cost of the total project. If you are building a $500,000 building, then your coverage might cost about $5,000 per year. However, many factors influence premiums, so speak to your agent about the best ways to maximize affordability.
If you are a member of the Home Builders Association of New Orleans, we offer customized builders risk policies for your exclusive use. Coverage includes both enhanced features and up to a 20% discount.
You should have coverage in place at least by the time you start the project. However, if you sign a contract on the project, then you'll likely need to get coverage as soon as the contract period starts.
You might not think you need this insurance coverage if you plan to do a household project yourself. However, your standard homeowners insurance might not compensate you for losses related to construction projects. Therefore, even self-completed projects can benefit from coverage.
Construction businesses usually need significant commercial insurance portfolios. Workers compensation coverage is a prime example. If an employee on the project gets hurt on the job, then this coverage can help you pay for their recovery costs.
Don't hesitate to talk to your Dave Millet Insurance agent about not only your builders risk insurance needs, but also about how to build a comprehensive policy portfolio for all your insurable assets. To get a quote, all you have to do is call us at (504) 556-0809 or contact us online.