When you're starting a building project in Massachusetts, the right coverage is necessary to avoid unnecessary financial expense. You'll have insurance for when the structure is completed, but what about during the build-out process? Builders risk insurance can help protect the entire construction of your project.
You can obtain quotes through an independent insurance agent, giving you options on coverage and premium. Since they work with several carriers, you'll be able to pick your policy. Connect with a local expert for custom quotes today.
What Is Builders Risk Insurance?
In Massachusetts, coverage for your building project is known as builders risk insurance. This policy will supply protection for your build-out and be replaced by your permanent insurance coverage once completed. Check out what builders risk insurance will cover when your project is under construction.
- Acts of God, such as tornadoes
What Does Builders Risk Insurance Cover?
Massachusetts builders risk insurance is a type of special inland marine coverage. It protects your build-out process and any risk exposures that go along with it. The size and value of materials will determine how much coverage is necessary. It pays for things such as the following.
- Equipment on site
- Equipment in transit
- Delays in project scope
- Additional expenses that arise
- Loss of use
- Real estate taxes
How Much Is Builders Risk Insurance?
Your Massachusetts personal and commercial insurance costs vary. Carriers use several risk factors when figuring your premiums. Exact pricing can be determined by obtaining quotes. Take a look at what your builders risk insurance cost depends on.
- Type of project
- Detail of the project
- Coverage selected
- The anticipated cost of completion
Are Construction Workers Responsible for Owning Builders Risk Insurance?
In Massachusetts, anyone with a financial interest in the process needs to be listed on the builders risk policy. If you own the property but hire a contractor, you'd be responsible for the policy and vice versa. A general contractor will have their own commercial insurance policies to supply their portion of the liability during a build-out. You will likely want to put the following on your policy.
- General contractor
Do Construction Workers Need Builders Risk Insurance?
In 2019, Massachusetts had $8,060,079,000 in commercial insurance claims alone that were paid. In order to minimize your financial risk, adequate protection is needed. Builders risk insurance is necessary when you are working on these things.
- A residential construction project
- A commercial construction project
- Remodeling your house
- Remodeling your commercial property
Does Builders Risk Insurance Cover Theft?
Theft and vandalism are the number one risks for a Massachusetts construction project. If your items are stolen, it could delay your build-out indefinitely. Builders risk insurance is a type of inland marine coverage which means it includes theft and vandalism protection. It will help replace and repair the following items.
- Building materials
- Items left out on a job site
In 2019, Massachusetts had $808,147,000 in homeowners insurance claims paid. When working on a new build or a remodel, the right coverage is essential. If you're not adequately insured, you'll be financially responsible for a loss.
When you build a home from the start, the builder typically carries the builders risk insurance. This is because they usually own the land and hire contractors to construct the house. If you have a financial interest during the process, you may want to be included as an additional insured on the policy.
How to Connect with an Independent Agent in Massachusetts
When you're starting a new building project in Massachusetts, protection should be on your to-do list. There are many moving parts when it comes to construction, and all parties need to work together for adequate coverage. Builders risk insurance can help ensure you're fully covered.
An independent insurance agent has access to several markets so that you get the best policy and rates in town. They do the shopping at no additional cost to you. Connect with a local expert on TrustedChoice.com and start saving today.
TrustedChoice.com Article | Reviewed by Jeffrey Green
©2021, Consumer Agent Portal, LLC. All rights reserved.