Builder Insurance

Types of Builder Insurance and How to Get a Quote

builder insurance

If you are building a high-rise near an airport, your insurance policy may not cover terrorism, so you’ll want to ask for a special “terrorism” rider, which is not included in the standard policy. Typical insurance policies also include endorsements and riders. A typical policy has several of these documents attached to the back of the policy. Read the fine print to find out more about each policy’s specifics. Below, we’ll discuss a few of the most common types of builder insurance and how to get a quote.

General liability

As a builder, general liability insurance is critical. The purpose of this policy is to pay for covered lawsuits filed by third parties alleging negligence on your part. Third parties can include visitors, trespassers, prospective buyers, employees of subcontractors, vendors, utility companies, neighbors, and competitors. The type of coverage you choose will depend on the type of project you’re undertaking. Here are a few key differences between general liability and builder’s risk insurance.

Builder’s risk

If you’re considering a new construction project, you might wonder about the differences between builders’ risk and insurance. Both cover different kinds of risks on a construction site, such as injuries sustained by construction workers, and damage to in-transit equipment. Builders’ risk insurance may also cover the costs of cleaning up debris and soft costs that arise during the construction process. However, the coverage offered by each policy varies, and some policies may not cover all types of risks.


In the context of commercial construction, the Commercial General Liability (CGL) policy plays a critical role. It is crucial to have adequate coverage, since the risk of faulty work can cause injuries and damage to property. This policy also protects you from liability that can result from any covered losses. But there are several things to know before signing up for a CGL policy. This article will explain the basics of CGL coverage, along with its limitations and exclusions.


The costs of builder’s insurance can vary widely depending on the type of project and location. The premiums can be anywhere from 1% to 4% of the project’s total cost, which can range from five to twenty thousand dollars per year, depending on the exact coverage you need. New construction, for example, typically requires a higher premium because excavation, underground plumbing, and temporary structures need to be covered. Renovation projects can also increase the builder insurance premiums. In fact, the Notre Dame Cathedral in Paris, France, was destroyed while undergoing a remodel.


You should be aware of the exclusions in your builder insurance policy. While the policy itself may provide ample coverage, some policies may exclude certain types of claims, including those caused by settling or earth movement. For example, your policy may not cover settling or cracking due to natural or planned conditions, such as ice or snow. For this reason, it is crucial that you understand all of the exclusions in your builder insurance policy before purchasing.


Renewable energy projects in the UK have been a growing concern, and the recent reduction in subsidy levels may be compounded by Brexit. Meanwhile, offshore wind farms and the Hayle wave scheme continue to be implemented, with many projects presently in the Take Over or operational phases. As a result, the construction and design of these projects is often fraught with unforeseen defects, which in turn increase insurance claims. Fortunately, renewable energy companies are establishing their own insurance programmes to protect themselves.

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