Builders risk insurance
InsuranceFinder coverage guide · Updated September 2026
Builders risk insurance commonly covers a building under construction, remodeling, or expansion — and related materials on site — against covered perils such as fire, wind, theft, and vandalism while work is underway, when those perils are on the form. Soft costs and delay coverage are optional on many programs. What responds still depends on the scheduled project, valuation, and exclusions.
Builders risk coverage breakdown
Builders risk is project property coverage. Start and end dates, named insureds, and permissive occupancy rules matter.
Physical damage to the building under construction and materials intended to become part of it, at the scheduled site, subject to the form.
Coverage for temporary works when scheduled or included — not automatic on every policy.
Extra expense and certain delay-in-completion costs after a covered property loss, when that endorsement is bought.
Materials in transit or at temporary storage when those extensions are on the form.
Who typically uses builders risk insurance
These policies are typically carried by owners, general contractors, and sometimes lenders who require project property cover during construction or major renovation. Contract documents often drive who buys and who is named — the form and project schedule decide.
Faulty workmanship, design error, and wear-and-tear are common gap areas (resulting damage may be treated differently by form). Earthquake, flood, and earthquake sprinkler leakage often need separate buy-backs. Occupancy before the policy ends can void or limit cover. Education only — not advice to buy.
Agencies specializing in builders risk insurance
Independent agencies published in our database. Open a profile for license details and state DOI links.