Builders Risk insurance protects structures during active construction against fire, vandalism, wind, and transit damage to pre-fabricated components.
1. Hard vs. Soft Costs Coverage
- Hard Costs: Raw materials, structural steel, lumber, electrical fixtures, and scaffolding on the job site.
- Soft Costs Endorsements: Additional loan interest, architect re-inspection fees, permit extensions, and delayed lease penalties.
- Cold & Hot Testing: Covering mechanical, HVAC, and electrical equipment during operational test runs.