Eligible Builders Risk Clients and Construction Projects
As a brief background, ‘builder’s risk’ insurance, also known as ‘construction course’ insurance. That is a specific type of property insurance commonly used on construction projects.
Who Needs Builder Risk Coverage? Any person or company with a financial interest in the construction project needs builder’s risk home insurance. Some common people you may want to include on your policy as policyholders include: Property owner.
Who Buys Builder’s Risk Insurance?
Almost any client with a financial interest in the completed project is eligible to purchase a builder’s hazard insurance policy. Individuals or entities, including contractors, business owners, homeowners, or financial institutions, are typically your top builder venture customers.
Depending on the terms of the construction contract. So the contractor or project owner may be required to purchase risk coverage for the builders. Get our project cheat sheet for lists of sample projects.
The Zurich-insured Builders Risk clients plan allows policy purchased in the name of the owner or builder. But not of the mortgagee (bank). Contractors and other stakeholders may also be protected under a named rider.
Is builders risk the same as course of construction?
If your client chooses to add the builder or owner as an additional named insured. To make sure a surrogate waiver is clearly outlined in the construction contract or agreement. This will protect the interests of additional named insured in the event of property damage during the course of construction.
Best Builder’s risk insurance is crucial for any homeowner or residential contractor making changes to a property, whether you’re building a new home for a family of four or remodeling an existing structure. Eligible residential customers can include:
- House fins
- Real Estate Agents
- Residential Contractors
- Commercial Projects
Builder Risk Home Insurance
Contractors and commercial property owners are also excellent candidates for builders risk insurance if they are undertaking construction, renovation or installation. Eligible business customers may include:
- Commercial contractors
- Commercial property owners
- Municipalities (local governments, school districts)
- Real Estate Agents
- Retail tenants who are expanding or remodeling a leased space
What kind of projects can builders’ risk insurance cover?
Builders risk insurance isn’t just for new custom home construction. Whether residential or commercial, our Builder Risk Policy has a wide appetite for a variety of project types valued at up to $ 75 million:
New Construction: This includes any new building built from scratch, whether residential (house, apartment / condo, duplex) or commercial (office building, restaurant, retail store).
Remodeling – A remodel involves changes to an existing space beyond a facility. In a residential property, this could include a kitchen or bathroom remodel. Common commercial remodels can include a business expanding into an adjacent tenant space or updating the interior to a more modern look.
Installation – These projects involve the installation of a single fixture or feature, such as new cabinets or flooring on a residential property, or an awning or signage for a commercial property. An installation involves a more limited scope compared to a complete remodel.
- Eligible Builders Risk Clients and Construction Projects.