Builders Risk insurance, from groundbreak to certificate of occupancy.

Frequently Asked Questions

• What property does builders risk insurance cover?
  Buildings and structures under construction, materials and supplies on-site or in transit, fixtures being installed, and temporary construction aids like scaffolding and forms.
• When does builders risk coverage begin and end?
  Coverage typically begins on the construction start date and ends upon project completion, occupancy, sale, abandonment, or policy expiration — whichever comes first.
• Does builders risk replace GL?
  No. Builders risk covers the property being built. General liability covers third-party bodily injury and property damage during the work. Both are required on virtually every project.
• Who buys it — owner or GC?
  Either can, but only one needs to. The contract should specify. We make sure the named-insured and loss-payee schedule matches the contract.
• Does it cover the existing structure during renovation?
  Some forms include the existing structure; others do not. We choose the form based on whether the project is new construction or a renovation of an existing building.
• Are wind and flood included?
  Wind is usually included subject to a Florida hurricane deductible (a $500 fixed amount or 2%, 5%, or 10% of the limit). Flood is excluded and typically requires separate placement through NFIP or a private flood carrier.
• Are soft costs covered?
  Yes, when scheduled. Soft costs include loan interest, permit fees, architectural and engineering fees, taxes, legal costs, and additional insurance premiums incurred due to a covered delay.
• What happens at substantial completion?
  Coverage typically ends at occupancy or substantial completion, whichever comes first. The owner moves to a permanent commercial property policy at that point.
• Is theft of materials covered?
  Often yes, but with secured-site language. Fencing, lighting, after-hours security, and material storage practices matter at claim time. Open frames and unsecured stored materials are common dispute areas.
• How does builders risk differ from inland marine?
  Builders risk covers the structure and materials intended to become part of the project. Inland marine covers movable equipment, tools, and materials in transit that aren't permanently attached. Many projects need both.