Business insurance for builder’s risk
Insurance for builder’s risk can help provide property and liability coverage for your buildings or structures while they’re under construction.
Why should I consider insurance for builder’s risk?
Between groundbreaking and grand opening, there’s a lot that could go wrong. If you have a financial interest in a building project, you may want to consider coverages to help protect your building site.
What is business insurance for builder’s risk?
During construction, damages and losses can occur that may severely impact your bottom line. Builder's risk may provide coverage for:
- Buildings or structures under construction
- Liability protection against claims made by non-employees injured on your construction site
- The repair or replacement of damaged, covered equipment
- Damaged or stolen materials and supplies used to build the structure
What does insurance for builder’s risk cover?
This insurance provides a broad range of coverages.
Property
Helps protect your business building(s), and auxiliary structures from a covered accidental direct physical loss
Liability
Helps provide financial protection against costly claims and lawsuits under the policy
Pollution & hazardous waste clean-up/ removal
May help cover costs associated with pollution
Equipment breakdown
Helps protect against damage to covered property caused by mechanical breakdown, power surges, explosion of steam boilers or loss of steam/hot water boiler
Arson reward
This insurance policy add-on pays a reward to people who provide information that leads to the arrest and conviction of arsonists
Coverage in action
One of the contractors you hired to work on a construction project falls from a ladder, breaking his leg. He’s going to need surgery. Luckily, you have liability coverage in the event you’re liable.
Frequently asked questions about business insurance for builder’s risk
Builder’s risk insurance may include both property and liability coverage, whereas property insurance only provides coverage for property.
Costs will vary based on factors, such as property value, location and construction materials used.
The property owner or the contractor can purchase a builder's risk policy. The contract between them typically specifies who is responsible for obtaining the policy.
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Prices are based on rating plans that may vary by state. Coverage options are selected by the customer, and availability and eligibility may vary.
This is only a general description of coverages of the available types of business insurance and is not a statement of contract. Details of coverage, limits, or services may not be available for all business and vary in some states. All coverages are subject to the terms, provisions, exclusions, and conditions in the policy itself and in any endorsements. Contact a State Farm agent for more information and a customized quote.
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Bloomington, IL
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