What is Builders Risk Insurance?

Builders risk insurance, also known as course of construction or inland marine insurance, is a type of property insurance specifically used for buildings and homes that are under construction. The policyholder can choose to simply cover the property itself, or include the materials, equipment, and supplies in their limits.

Construction is a high-risk industry, and a lot can go wrong in the process of building or fixing up a home. An uncapped wire, or soldering a pipe can lead to hundreds of thousands of dollars in damage, so it’s important that you have the correct insurance coverage in place throughout the project’s duration to protect your investment. 

Builders risk insurance policies can differ depending on the scope of the project, but it typically covers the following property losses due to:

  • Fire 
  • Hurricanes 
  • Lightning 
  • Hail 
  • Vandalism 
  • Theft 
  • Soft costs

However, if you find that the basic coverages are not enough for your construction project, you can add extensions or endorsements to cover any additional risks you may face while on the job. For example, debris removal and disposal in the event of a loss is not covered on a standard builders risk policy, but it can be added for an additional cost to your annual premium. Make sure you discuss your needs for your project with your insurance agent prior to its start date to ensure that you’re covered due to the substantial costs that a construction loss can incur. 

Builders risk policies can cover three types of construction projects: remodeling, ground-up new construction, and installation. The limits on your policy will vary depending on the level of risk involved in the project. Insurance companies value risk by the location, cost, and size of the project. Installing solar panels on the roof of a home in Glen Mills, PA is going to be seen as far less of a risk than the construction of a brand new commercial building in a city like Philadelphia. 

Risk Averse Insurance has been insuring Delco and the surrounding areas since 2015, providing expert service while offering affordable prices on builders risk insurance. We want to partner with your small business and ensure that you’re getting the best possible coverage.


Call Risk Averse Insurance in Media, PA to get a quote on a builders risk insurance for your small business.

Risk Averse Insurance is an independent insurance agency in Delaware County that specializes in providing high-quality insurance products at an affordable price.

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