Also called builder’s risk insurance, new home construction insurance Houston, TX is a must-have before a construction project. Texas Insurance Agency can help you find the various types of construction or contractor insurance you need to ensure that everything is insured. Learn more about what you need to have before you start laying down the framework of our next project. Our team of insurance brokers knows what to do.
What is new home construction insurance?
New Home Construction Insurance is a type of insurance that is also called Course of Construction Insurance, Builder’s Risk Insurance, or Construction Insurance. This insurance protects a building and its essential materials while it’s being built. With this type of insurance, you can have peace of mind knowing there’s a fallback plan for your finances, even if something wipes away your project’s current progress.
It might pay for damage from things like fires, theft, mischief, or uncontrollable disasters, such as storms or tornadoes. It usually covers the building and any construction supplies that are on the site. It might also cover temporary buildings like storage sheds or portable offices that are on the construction site.
Different policies cover different amounts of risk, and some risks, like floods, may not be covered at all. However, you’ll need a different type of coverage to protect you from being sued if someone else gets hurt on the building site. This insurance is usually bought by the owner of the building or the contractor. Once the construction is done, the coverage stops.
Texas Insurance Agency has all the options you need. Whether you need new home construction insurance or a different type of contractor’s insurance, we’ve got your back. Contact us to learn more about how we can help protect your business. Get in touch with our team, and we’ll assess your risks and provide a free quote for the insurance you want to learn more about.
The Details of New Home Construction Insurance Houston, TX
New Home Construction Insurance covers damage to buildings while they are being built. It could also include the building materials, furnishings, and/or tools that are being used to build or fix up a building. You’ll want to buy this insurance policy before you start your next construction project to ensure you won’t lose money when something interrupts or destroys the progress of the building in the middle of work.
This insurance can cover the builder, the workers, the subcontractors, and sometimes the homeowner or project owner. It can keep you safe from things like fire, theft, crime, lightning, hail, explosions, and more. Depending on what you’re expecting, you can find specialized coverage for specific situations that aren’t covered by the basic coverage. But it generally doesn’t cover injuries or accidents at work or damage caused by professional mistakes.
Who needs new home construction insurance?
Property owners, real estate developers, contractors, and builders who are working on residential building projects are likely to need New Home building insurance. Lenders or financial institutions that are giving the money for the building project may also need this kind of insurance policy.
Not to mention, before they will lend money for a job, most lenders will want to see proof of builder’s risk insurance. How much coverage is needed usually depends on how much the whole job costs. Our team can work with you to help determine how much is needed for your business. Get in touch today to protect yourself before your next project.
Other Types of Necessary Construction Insurance
For different needs and risks in the construction business, there are different types of construction insurance that are needed. Here are some of them:
- Public or General Liability Insurance (CGL): This pays for legal fees and compensation claims if someone gets hurt or their property is damaged because of your building work. If you need more coverage than what your CGL policy provides, you can also get Umbrella Insurance as a stop-gap measure for riskier projects.
- Contractors All Risks Insurance: This covers the cost of any damage or loss to the building, as well as the cost of fixing bad design or work. In some cases, property damage can also include improper construction, any damage that happens during a renovation, and damage to temporary work spaces on-site.
- Workers’ Compensation Insurance: This is required insurance that covers your employees in case they get hurt or sick at work. It can also ward off lawsuits that come from cases where your workers are injured or ill due to a work-related reason.
- Professional Liability Insurance: This will protect you if a client says that your design or advice cost them money. This is necessary if your team is also in charge of designing the new home construction project you’ll be taking on or dabbles in other consulting matters.
- Plant and Machinery Insurance: This covers structures and tools used in building projects.
- Building Vehicle and Equipment Insurance: This type of insurance covers the tools and cars that are used on building sites.
- Employment Practices Liability Insurance (EPLI): This insurance protects employers against claims from workers that their rules were broken.
These insurances may need to be combined differently for different types of buildings. You might not need all of them all the time. The project and the risks that come with it must be carefully looked at before the right coverages are chosen. We can help you determine the best ones for the situation.
Getting What You Need
Texas Insurance Agency works with the best insurance companies in the area to ensure our clients get what they need at a rate they can agree with. Call our office today to learn more about our service. Our Houston office is always ready to show you your new home construction insurance options.
Houston, Texas Fun Facts:
- Houston is the fourth most populous city after NYC, LA, and Chicago.
- However, it’s one of the most diverse cities, with over 145 languages spoken within the city.
- It was the first city to have a traditional Hindu temple built within the city limits.