Home Remodeling Insurance
For many clients, a home remodel can be the second-biggest expense of their lives after the purchase of their home. However, many of them may not realize that homeowners insurance and remodeling builders risk insurance are two very different types of inland marine coverage.
While policies differ from carrier to carrier and vary depending on coverage endorsements and exclusions, standard homeowners and builders risk insurance are each designed for different exposures. Contractors and homeowners often mistakenly assume an existing homeowners policy will provide proper coverage for renovations. If any damage is ultimately caused by a renovation — no matter how small — the loss may not be covered. That’s where builders risk insurance can fill the gap in coverage, giving your clients peace of mind should a loss occur and a reliable provider known for its superior claims handling.
The US Assure Builders Risk Plan insured by Zurich is suitable for basic remodels to major renovations. Agents can quote and issue an insurance policy and obtain proof of coverage the same day. Builders risk policies for residential remodels can be written in the name of the homeowner or the contractor with the option to include or exclude coverage for the existing home. A separate premises liability policy to complement our builders risk coverage be secured.
- Basic Remodel: changes to interior (e.g., replacement of bathroom fixtures, kitchen cabinets and flooring)
- Minor Structural: modifications to interior and exterior (e.g., doors, windows, roof replacement and ground floor additions)
- Major Structural: repair, replacement or removal of load-bearing walls or foundation of stories, stairways and elevators
- Ineligible: Historic homes (projects involving the historical society or that will be applying for historical status during renovation)
- Rate, quote and issue most policies online in minutes
- Option to insure the renovation value only or include coverage for the existing structure
- 6, 9 or 12-month policy terms; extensions available with underwriting approval
- Coverage for theft of building materials or vandalism
- Option to purchase higher sub-limits and additional coverage, including endorsements for green building, change orders and many more
- Occupancy for a single-family dwelling allowed if the building is being remodeled
- Occupancy for two, three or four-family dwellings when less than 50 percent is leased or rented
- Improvements or renovations must represent at least 20 percent of the existing structure value
- Direct bill, and premium payment installment options for policies over $500
- A separate premises liability product can be secured for the legal property owner