Project property and named parties
A project owner and contractors may each have an interest in the work. Compare the contract with the policy's named insureds, project property and limits, including who bears the deductible.
Business insurance
Builders risk insurance
Construction and renovation projects involve changing property values and responsibilities. Builders risk terms depend on the project and policy.
Understanding your options
What to know about builders risk insurance
Builders risk is property coverage for a building project while construction or renovation is underway. The insured property, causes of loss and timing must be checked in the particular policy.
What to compare
- Identify who insures the work and who is named
- Check materials at the site, off-site and in transit
- Review completion, occupancy and existing-structure conditions
Coverage, eligibility, limits and exclusions depend on the insurer and policy. Review the actual policy documents before making a decision.
A closer look
How to compare your options
Materials and causes of loss
Ask whether materials in temporary storage or transit are included and under what sublimits. Wind, hail, flood, theft and damage from faulty work may be treated differently; read each form.
From start to handover
Review when coverage begins and ends, especially during phased occupancy or delays. Arrange the transition to permanent property insurance rather than assuming project coverage continues after completion.
Before you reach out
A few details can help start the conversation.
- Identify the project location and schedule
- Describe new construction or renovation
- Note who the contract asks to insure the work
Common questions
Builders risk insurance FAQ
Does builders risk cover injuries to visitors?
Builders risk is a property policy. Liability for injury is a separate question to review under the applicable liability policies.
Are stored materials covered?
It depends on the policy, location, transit provisions and any sublimits. Identify where the materials will be kept.
Does it cover an existing building being renovated?
Do not assume so. Ask how the policy treats the existing structure and the new work, and coordinate with the owner's existing coverage.
When should permanent property coverage start?
Discuss the planned handover and occupancy dates early. The builders risk policy and permanent policy should be reviewed together to avoid a gap.
Start a conversation
Ask about builders risk insurance.
Share a few basic details and the team can help you take the next step. Please leave sensitive information out of this first message.