Remodel contractors are faced with a unique set of problems when they head to work. Most often, you aren’t just going to a jobsite…you are entering someone’s home.
This brings a whole new twist to the rules of a workplace, as well as added challenges and even more responsibility.
One of the biggest risks that a remodel contractor faces while at the site and home of a client is the chance that something could go wrong.
An unforeseen circumstance that could ruin your progress, materials, and your client’s home.
That’s why course of construction insurance is so important on every single job that a remodel contractor takes on. You aren’t just protecting a project site, you are also protecting your client’s home.
A course of construction policy, commonly called builders risk, will cover you from the biggest, baddest of accidents on the site.
Things you can’t control are covered by course of construction insurance, like:
- extreme weather
- natural disasters
- and even vandalism and theft
This coverage is so broad, it’s almost easier to ask what it doesn’t cover. (Fraud, intentional acts, and any policy specific inclusions make up that short list.)
Here’s what you need to know about builders risk if you are a remodel contractor...
Regular homeowners policies won’t protect your project during a remodel.
Course of construction is specialized insurance coverage for a building, structure, or remodel project while it is under construction.
A typical homeowner’s policy would only cover the intact portions of a home in the event of an accident or disaster. You need a builders risk policy to cover the remodel portion of your project.
If you are counting on the homeowner’s policy to cover your remodel project, you are leaving yourself, and your profits, unprotected.
Materials and supplies are covered with builders risk.
What happens if a flash flood ruins the materials and supplies you need to complete your project? If you have builders risk, your materials on the site are covered.
In the event the structure itself is fine, you can still file a claim to replace damaged supplies. Even blueprints and site plans are covered under a course of construction policy.
When theft brings your progress to a halt, or the cost of replacing and repairing a vandalized project piles up, it can be tempting to start playing the blame game.
Luckily, a course of construction policy can cover all of the principal players on a major remodel project. The homeowner, general contractor, and subcontractors can all be named insureds on the policy. When everyone shares the same coverage, there is no reason to play the blame game… You can just move on with a claim and get back to work.
Course of Construction can cover all of your remodel projects.
It doesn’t matter if your remodel project will take three-months, six-months, or even a year to complete. Builders risk policies can be provided for any of these time frames. There is no job too small, or no project too large, for you to protect.
From your smallest remodel jobs to the largest, you can protect the project, your supplies, and your materials on site from the unforeseen circumstances that could cost you your profits, reputation, or worse.