What is Denver Builders Risk Insurance?
Denver builder’s risk insurance, also called course of construction insurance, is insurance designed for buildings during the construction process. Builders’ risk covers many risks including the structure, and the materials on site waiting to be installed, in storage, or transported to the job site. We usually write the builder’s risk coverage for the total completed replacement value of the job or project. There are many reasons to consider this coverage as part of your broad contractor’s insurance program.
Builders’ risk policies can be written specifically to cover the construction term; usually three, six, or twelve months. The policy will cover the same perils of most property policies including fire, wind, theft, vandalism, lighting, etc.
Who Should Consider Denver Builders Risk Insurance?
There are several parties involved in a new construction project. Each party has an interest in the project and might consider builders’ risk insurance. The contractor, project manager, and building owners all have interests that need to be protected.
Contractors, owners, and project managers often mistakenly think their business insurance policy will cover the building during construction. There will be no coverage under a standard business policy for property loss unless it has been added by endorsement or under a separate policy.
Excluded Property Under A Builders Risk Policy
There is a relatively short list of properties that are not covered under a builder risk policy. This includes automobiles, landscaping, money, contractor’s tools, equipment, and machinery.
If you have purchased builders’ risk insurance for a project or building, read your policy carefully to become familiar with the policy language and find out whether there are any exclusions or items that will not be covered.
DCInsurers – Mountain, knows how important it is to have the right kind and amount of insurance coverage for your business. We also know how challenging it can be to sort through the numerous different insurance options to find the right policy.
