Call Us 973-256-5500 ☰ ˟
Logo
Call Us 973-256-5500
  • Our Agency
    • AboutImage of right arrow
      • Our Location
    • Personal ProductsImage of right arrow
      • Home & Auto Insurance
      • Auto InsuranceImage of right arrow
        • Liability Coverage
        • Comprehensive Coverage
        • Collision Coverage
        • Uninsured & Underinsured Motorist Coverage
        • Roadside Assistance
        • Specialty Auto Insurance
        • 24-Hour Customer Service
        • Towing
        • Rental Reimbursement
        • Personal Injury Protection (PIP)
        • Medical Payments Coverage
      • Home InsuranceImage of right arrow
        • Flood Insurance
        • Homeowners Liability
        • Renters Insurance
        • Condo Insurance
        • Mobile Home Insurance
        • Scheduled Property Insurance
        • Landlords Insurance
      • Other Personal InsuranceImage of right arrow
        • Personal Umbrella Insurance
      • Life InsuranceImage of right arrow
        • Individual Life Insurance
        • Group Life Insurance
        • Long-Term Care Insurance
        • Disability Insurance
      • Health InsuranceImage of right arrow
        • Individual & Family Health Insurance
        • Group Health Insurance
        • Dental Coverage
        • Vision Coverage
        • Long-Term Care Insurance
        • Temporary Health Insurance
        • Supplemental Insurance
        • Disability Insurance
        • Medical Expense Insurance
        • Child Health Insurance
        • Travel Health Insurance
        • Prescription Insurance
        • HSAs
      • Recreational Vehicle InsuranceImage of right arrow
        • Boat Insurance
        • Motorcycle Insurance
        • Motorhome Insurance
        • ATV Insurance
        • Snowmobile Insurance
      • Financial ServicesImage of right arrow
        • Financial Planning
        • Annuities
        • 401K
        • Retirement Planning
        • Traditional & Roth IRAs
    • Commercial ProductsImage of right arrow
      • BondsImage of right arrow
        • Fidelity Bonds
        • Surety Bonds
      • Coverage for Specific IndustriesImage of right arrow
        • Accounting Firm Insurance
        • Alarm Contractors Insurance
        • Fire Suppression Contractors & Equipment Dealers Insurance
        • Insurance for Arborists
        • Construction Insurance
        • Consulting Firm Insurance
        • Snow Plow Insurance
        • Specialty Trade Contractors Insurance
        • Educational Facility Insurance
        • Financial Institution Insurance
        • Healthcare Facility Insurance
        • Healthcare Practice Insurance
        • Law Firm Insurance
        • Life Science Insurance
        • Maintenance Contractors Insurance
        • Manufacturing Insurance
        • Media & Advertising Insurance
        • Orthotics & Prosthetics Insurance
        • Pool & Spa Insurance
        • Printers & Publishers Insurance
        • Real Estate Businesses Insurance
        • Retail Insurance
        • Scrap Metal Insurance
        • Security Guards Insurance
        • Self-Storage Insurance
        • Septic Contractors Insurance
        • Technology Services Insurance
      • Coverage for Your BusinessImage of right arrow
        • Marine Insurance
        • Business Owners Policy (BOP)
        • Commercial Auto Insurance
        • Commercial General Liability
        • Commercial Property Insurance
        • Commercial Umbrella Insurance
        • Crime Insurance
        • Inland Marine Insurance
        • Professional Liability
        • Workers Compensation
      • Coverage for Your EmployeesImage of right arrow
        • Small Business Retirement Plans
        • Employer-Sponsored Retirement
        • Group Benefits
        • Group Disability Insurance
        • Voluntary Benefits
        • Retiree Health Coverage
        • Group Health Insurance
        • Disability Insurance
        • Individual Life Insurance
    • Get a Quote
    • Our Carriers
    • Contact UsImage of right arrow
      • Allwood Forlenza Insurance Agency
  • Products
    • Home & Auto Insurance
    • Auto InsuranceImage of right arrow
      • Liability Coverage
      • Comprehensive Coverage
      • Collision Coverage
      • Uninsured & Underinsured Motorist Coverage
      • Roadside Assistance
      • Specialty Auto Insurance
      • 24-Hour Customer Service
      • Towing
      • Rental Reimbursement
      • Personal Injury Protection (PIP)
      • Medical Payments Coverage
    • Home InsuranceImage of right arrow
      • Flood Insurance
      • Homeowners Liability
      • Renters Insurance
      • Condo Insurance
      • Mobile Home Insurance
      • Scheduled Property Insurance
      • Landlords Insurance
    • Other Personal InsuranceImage of right arrow
      • Personal Umbrella Insurance
    • Life InsuranceImage of right arrow
      • Individual Life Insurance
      • Group Life Insurance
      • Long-Term Care Insurance
      • Disability Insurance
    • Health InsuranceImage of right arrow
      • Individual & Family Health Insurance
      • Group Health Insurance
      • Dental Coverage
      • Vision Coverage
      • Long-Term Care Insurance
      • Temporary Health Insurance
      • Supplemental Insurance
      • Disability Insurance
      • Medical Expense Insurance
      • Child Health Insurance
      • Travel Health Insurance
      • Prescription Insurance
      • HSAs
    • Recreational Vehicle InsuranceImage of right arrow
      • Boat Insurance
      • Motorcycle Insurance
      • Motorhome Insurance
      • ATV Insurance
      • Snowmobile Insurance
    • Financial ServicesImage of right arrow
      • Financial Planning
      • Annuities
      • 401K
      • Retirement Planning
      • Traditional & Roth IRAs
    • BondsImage of right arrow
      • Fidelity Bonds
      • Surety Bonds
    • Coverage for Specific IndustriesImage of right arrow
      • Accounting Firm Insurance
      • Alarm Contractors Insurance
      • Fire Suppression Contractors & Equipment Dealers Insurance
      • Insurance for Arborists
      • Construction Insurance
      • Consulting Firm Insurance
      • Snow Plow Insurance
      • Specialty Trade Contractors Insurance
      • Educational Facility Insurance
      • Financial Institution Insurance
      • Healthcare Facility Insurance
      • Healthcare Practice Insurance
      • Law Firm Insurance
      • Life Science Insurance
      • Maintenance Contractors Insurance
      • Manufacturing Insurance
      • Media & Advertising Insurance
      • Orthotics & Prosthetics Insurance
      • Pool & Spa Insurance
      • Printers & Publishers Insurance
      • Real Estate Businesses Insurance
      • Retail Insurance
      • Scrap Metal Insurance
      • Security Guards Insurance
      • Self-Storage Insurance
      • Septic Contractors Insurance
      • Technology Services Insurance
    • Coverage for Your BusinessImage of right arrow
      • Marine Insurance
      • Business Owners Policy (BOP)
      • Commercial Auto Insurance
      • Commercial General Liability
      • Commercial Property Insurance
      • Commercial Umbrella Insurance
      • Crime Insurance
      • Inland Marine Insurance
      • Professional Liability
      • Workers Compensation
    • Coverage for Your EmployeesImage of right arrow
      • Small Business Retirement Plans
      • Employer-Sponsored Retirement
      • Group Benefits
      • Group Disability Insurance
      • Voluntary Benefits
      • Retiree Health Coverage
      • Group Health Insurance
      • Disability Insurance
      • Individual Life Insurance
  • Resources
    • Refer a Friend
    • Important Links
    • Insurance Glossary
  • About Us
    • About Us
    • Testimonials
    • Privacy Policy
  • Contact
Home > Blog > Who Should Carry Builders Risk Insurance?
FRIDAY, FEBRUARY 26, 2021

Who Should Carry Builders Risk Insurance?

builderBuilders risk insurance is designed to protect construction projects that are damaged due to fire, wind, hail, lightning, smoke, theft, vandalism and other incidents. If you work in any area of construction, you know that accidents and natural disasters can put a project far behind, especially if materials or equipment are damaged.

  

In general, anyone with stake in a construction project should carry or be listed on a builders risk insurance policy. This may include:

  

  • Property owners 

  • General contractors 

  • Subcontractors 

  • Lenders 

  • Architects 

  • Engineers 

  • Developers

  

Who Buys a Builders Risk Insurance Policy? 

The primary policy holders are generally contractors, business owners and homeowners. This insurance is crucial for protecting a project while it’s underway. Incomplete projects are at much more mercy to the elements, theft and vandalism than normal structures. The same goes for equipment that is possibly left overnight at the construction site. This insurance doubles as protection for everyone involved, as it provides compensation for lost or damaged items necessary to complete the project. 

Is Builders Risk Insurance Required?

  

Construction contracts often come with a requirement for builders risk insurance. Replacing a half-constructed home or expensive equipment can be costly, and no one wants to pay for starting over out of pocket. The quicker that compensation can be provided to cover the damages or losses, the quicker the project can be resumed and finished. This is why most businesses will require their contractors or subcontractors to carry builders risk insurance. 

How Much is Builders Risk Insurance?

  

The cost of builders risk insurance varies depending on several factors, including the aspects of the project being insured. In general, you may pay anywhere between $1,000-$20,000 for a builders risk insurance policy. Other factors that affect these premiums are:

  

  • Coverage limits 

  • Location 

  • Value of materials being used 

  • Duration of project 

  • Scope of project 

  • Claims history

  

Newer construction projects that require breaking ground, excavation, plumbing or other extensive construction may cost more to insure. You may choose to have a higher deductible to lower premium rates, but keep in mind that you will have to pay more up front before receiving reimbursement for a covered incident.

  

This insurance is crucial for protecting you incase you have an investment in a construction project. Be sure to speak with an insurance agent about your builders risk insurance needs so that you can get the right policy at the best price.

  

Posted 1:27 PM

Tags: builders risk
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2021

  • builders risk(1)
  • home insurance(1)
  • workers compensation(1)

View Mobile Version
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Home| Get A Quote| Customer Service| Blog| About Us| Contact
110 Little Falls Rd. | Fairfield, NJ 07004
P: 973-256-5500 | F: 973-882-5601 | info@afcainsurance.com
Social Social Social Social
Logo

Powered by Insurance Website Builder