Builders Risk Insurance | Zeyger Insurance Business Insurance in California (2024)

Table of Contents

Looking for Builders Risk Insurance in California? What does Builders Risk Insurance cover? How Much Does Builders Risk Insurance Cost? Damage from the following events will be covered by most policies: Standard Exclusions Include: Get Started with a Builders Risk Insurance Quote

Builders Risk InsuranceMichael Senderovich2024-05-23T10:27:36-07:00

Looking for Builders Risk Insurance in California?

Builder’s Risk Insurance, which some referto as Course of Construction Insurance, is aformof commercial property insurance which covers a building where the building or insured area is presently being constructed or heavily remodeled.

It can cover just the structure, or also the materials on site waiting to be installed or transported to the job site.

Start Quote

What does Builders Risk Insurance cover?

The builder’s risk insurance policy will pay for damages up to the coverage limit in the policy. The limit must accurately reflect the total completed value of the structure (all materials and labor costs, but not including land value).

The construction budget is the best source for determining the appropriate limit of insurance.

Builder’s Risk insurance policies can often be purchasedin terms of three-months, six-months, or 12-months. If the project is not completed by the end of the initial policy term, it can often be extended, but usually only one time.

How Much Does Builders Risk Insurance Cost?

The builders risk policy will provide coverage for damage done to the insured structure from a wide variety of events.

Damage from the following events will be covered by most policies:

Fire
Wind (may be limited in coastal areas)
Theft
Lightning
Hail
Explosion
Vandalism
Vehicles/Aircraft

You should read your course of builder’s risk insurance policy to be familiar with its limitations and exclusions. Limited coverage is provided for collapse.

Standard Exclusions Include:

Earthquake
Employee theft
Water damage
Weather damage to property in the open
War
Government action
Contract penalty
Voluntary parting
Mechanical breakdown

An important exclusion which should be read in its entirety excludes coverage for damage resulting from faulty: design, planning, workmanship and materials. Earthquake and flood coverage may be purchased in some areas.