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Contractors – Course of Construction

Universal 1st


hen you choose an insurance carrier, you’re choosing a partner to help you protect your company with coverage and services that meet your needs. You need a partner you can count on. Building contracts may require you to have core levels of protection. At Universal 1st, we can help you identify the risks associated with building construction and may help you save money.  More important, we can help you focus your time on your business rather than worrying about all the negative “what if”s.

Building a new house, office building, or adding onto an existing structure is exciting. However, before you can even begin construction, most lenders will ask you to have a builder’s risk insurance policy to be in place before they even give you a loan. We can build a Builder’s Risk Insurance policy that can have flexible coverage options to meet the special insurance requirements for even the largest residential or commercial contracting development. Our competitive coverage includes an extremely broad policy. Builder’s risk insurance is a select type of property insurance that indemnifies against damage to structures when they’re under development. Builder’s risk insurance helps insure an individual’s or corporation’s insurable interest in supplies, fixtures and/or equipment being used in the construction or restoration of a building or structure should these items sustain physical loss or damage from a covered cause.

Why do you require Course of Construction Insurance?

Structures are subject to many different dangers when under construction. They may catch fire, be damaged by powerful winds, or fall victim to other force majeure. An assumption of everyday law is that any new construction or other enhancements will become property of the owner of the land – the title owner – as soon as there has been an “improvement” to the owner’s site. The general contractor can be responsible for any losses attributable to his negligence, but the owner is accountable for most other losses. Builder’s risk insurance can include some of these losses. Builder’s risk insurance can offer monetary protection for:

  • Theft of supplies from the moment they are delivered to the worksite.
  • Insurance coverage for materials in-transit and at temporary places.
  • Insurance coverage for resources that might be installed or uninstalled.
  • Insurance coverage for losses stemming from ordinances or laws.
  • Fire Department Service fees.
  • Errors & Omissions coverage.
  • Discretionary = Flood & Earthquake coverage
  • Lightning, the wind, and similar forces.

Insurance coverage is usually in force during construction periods only and is projected to terminate when the task concludes, and the property is all set for use or habitation. For more information on Course of Construction Insurance contact Universal 1st at 818-546-2200 or fill out our online form for your FREE Insurance Quote.