Builders Risk Insurance
Guardian Insurance Agency
Protect the build while it’s being built.
When a structure is under construction, it’s vulnerable open walls, exposed materials, new systems coming online. Builders risk insurance (also called course of construction) is designed to cover property losses that happen during the project, so one incident doesn’t derail your timeline or budget.
What builders risk covers (property during construction)
(Coverage varies by carrier and project; we tailor limits and endorsements to your job.)
- The building under construction (including foundations, fixtures, and permanent installations).
- Materials, supplies, and equipment at the job site, in transit, or temporarily stored off‑site.
- Temporary structures (fences, scaffolding, trailers).
- Common causes of loss: fire, lightning, wind/hail (where eligible), theft, vandalism (non‑employee), vehicle/aircraft impact.
- Debris removal and sue & labor (reasonable costs to protect property after a loss).
Valuable options to consider
- Soft costs / delay in completion: interest, architectural/engineering fees, permits, advertising, and other costs triggered by a covered delay.
- Ordinance or Law: increased costs to meet updated codes during rebuilds.
- Testing & commissioning endorsements for new mechanical/electrical systems.
- Permission to occupy / partial occupancy while construction finishes.
- Flood and Earthquake (often excluded unless specifically endorsed or written separately).
Who typically needs it
Owners, general contractors, subcontractors (by agreement), lenders, and architects/engineers (for design‑build) routinely require builders risk. Policies can be taken out by the property owner or the contractor, depending on contract terms.
How limits and terms are set
-
Limit:
Usually the completed value of the project (labor + materials + profit), not just the current stage. -
Term:
Runs for the course of construction; extensions are limited plan realistic timelines. -
End date:
Often at completion, certificate of occupancy, or when the building is put to its intended use. -
Deductibles & sublimits:
Apply to certain causes (e.g., theft, wind, temperature‑sensitive property); we set them to match your risk.
What builders risk doesn’t cover
Some exposures need their own policy:
- General Liability (GL): Third‑party injury or property damage from your operations. (Not included in builders risk.)
- Workers’ Compensation: Injuries to employees.
- Contractor’s Equipment: Mobile equipment/tools you own (covered under inland marine / equipment floater).
- Professional Liability / E&O: Design errors or consulting mistakes.
- Flood/Earthquake: Often excluded unless endorsed or written separately.
- Employee theft/vandalism: Typically excluded unless specifically added.
We’ll help stack the right companion coverages GL, WC, Equipment Floater, E&O so there are no gaps.
Why it matters
Construction sites face real‑world losses: theft of copper or appliances, wind damage to partially installed roofs, fire from temporary heaters, or water intrusion from an unexpected storm. Builders risk funds the fix so schedules and cash flow stay intact.
The Guardian way
We read your contract and schedule of values.
We set completed value limits.
We add the soft‑costs and code endorsements you’ll actually use.
We align companion coverages GL, WC, equipment, E&O so the project stays protected from bid to ribbon‑cutting.
Guardian Insurance Agency — Proper protection—prior to peril.
Call
+1 888 388 2864
Visit
1818 E 1st Street #530 Santa Ana CA 92705