Builders Risk Insurance
Construction projects come with unique risks long before the final structure is complete. From weather damage to material theft, builders risk insurance helps protect your investment during construction, renovation, or major remodeling. At Wisco Insurance, we help Wisconsin builders, contractors, and property owners secure builders risk coverage that protects projects from start to finish.
What Builders Risk Insurance Can Cover
Structure Damage During Construction
Covers repair or replacement costs if a building under construction is damaged by covered events such as fire, wind, hail, or vandalism. Wisconsin’s seasonal storms and changing weather make this protection especially important during the build phase.
Materials and Supplies
Protects building materials while they’re on-site, in transit, or temporarily stored off-site. Coverage helps reduce losses from theft, weather exposure, or accidental damage before materials are installed.
Temporary Structures and Equipment
Can include coverage for temporary structures such as scaffolding, fencing, signage, and other jobsite-related property. This helps minimize financial loss tied to damage or theft at open construction sites.
Soft Costs Due to Delays
Helps reimburse additional expenses caused by construction delays after a covered loss, such as permit extensions, architectural fees, engineering costs, or loan interest that continues while work is paused.
Cleanup and Debris Removal
Covers the cost of removing debris and cleaning the site after a covered loss, helping projects get back on track without added financial strain.
Why Coverage Is Essential for Any Project
Construction Sites Are Vulnerable
Open and unfinished sites are more vulnerable to weather damage, vandalism, and theft. Builders risk insurance protects work in progress when standard property coverage does not apply.
Standard Policies Fall Short
Homeowners and commercial property policies typically exclude buildings under construction or major renovation. Builders risk fills this critical gap during the build phase.
Peace of Mind from Start to Finish
Whether you’re constructing a new building in Janesville, renovating a property in Kenosha, or managing a project near Brodhead, builders risk insurance provides peace of mind throughout the construction process.
Builders Risk Insurance FAQs
Who should carry builders risk insurance?
Builders risk insurance is typically carried by property owners, general contractors, or developers who have a financial interest in a construction or renovation project. In Wisconsin, this often includes residential builders, commercial contractors, and property owners overseeing new construction or major remodels in communities like Brodhead, Janesville, and Kenosha. Coverage responsibility is usually defined in the construction contract, making it important to clarify who is responsible for insuring the project before work begins.
How long does builders risk insurance last?
Builders risk insurance is designed to cover a project for the duration of construction. Coverage typically begins when materials arrive on-site and ends when the project is completed, occupied, or reaches a specified completion date listed in the policy. In Wisconsin, where weather delays can extend timelines, policies can often be adjusted or extended if construction takes longer than expected, helping maintain protection until the project is finished.
What’s not covered by builders risk insurance?
Builders risk insurance generally does not cover employee injuries, contractor tools, faulty workmanship, design errors, or normal wear and tear. It also usually excludes losses caused by earthquakes, flooding, or intentional acts unless additional endorsements are added. Wisconsin builders should review exclusions carefully and coordinate builders risk coverage with other policies, such as general liability or workers’ compensation, to ensure full protection.
Can I add extra coverage for high-value equipment or materials?
Yes, builders risk policies can often be customized with endorsements to cover high-value materials, specialized equipment, or unique project exposures. This is especially important for Wisconsin projects involving custom materials, specialty installations, or long lead-time components stored on-site or off-site. Tailoring coverage helps ensure that valuable assets are fully protected throughout the build.
What’s the difference between builders risk and property insurance?
Builders risk insurance protects a structure while it is under construction or major renovation, whereas property insurance applies once the building is completed and occupied. Standard property policies typically exclude construction-phase risks, leaving a coverage gap during the build. For Wisconsin property owners and contractors, builders risk insurance fills that gap, ensuring continuous protection from groundbreaking through project completion.