Builder’s risk is coverage that protects a contractor or their organization’s equipment, materials, and fixtures being used in the construction industry. The policy provides relief for any insured loss during the renovation of a building or structure should any item sustain physical loss or damage. Construction Insurance in Albuquerque provides policies for contractors for a range of exposures and concerns. This coverage is designed to protect property while it is under construction from many hazards, including fire, damage occurring during storms, theft, or any other hazards taking place during the construction process.
A builders risk policy provides useful benefits
One of the main benefits that a contractor receives when applying for a builder’s risk policy is that it covers, not only the general contractor, but the property owner as well.
For example, vandalism occurs quite frequently on construction sites and the losses can be very consequential. Fortunately this is a policy that pays for any loss or damage in connection with such acts. Without this policy the general contractor could be held responsible for any loss as a result of vandalism during the construction process.
It’s vital to carry a builder’s risk policy in the event that tools and other work items belonging to you, your crew, or the property owner are stolen while the building is under construction. Many items commonly taken from construction sites are tools, machinery, or building materials purchased specifically for the project. A contractor would be wise to have construction risk insurance coverage at all times.
Lack of a policy could result in costly claims
While the owner of the building may have coverage in place it’s still a good idea for contractors to carry their own Insurance in Albuquerque to avoid liability concerns. They should apply for a builders risk insurance policy for each job they secure, that way they can stay focused on doing a good job for their clients.
Getting a few quotes can be a fairly simple process and in most cases coverage can be had on that same day. Having proof of coverage can also help in obtaining more jobs moving forward.