A. In addition to liability insurance, there is special insurance for other risks during construction.
Builder’s risk insurance covers unfinished buildings and the construction materials on construction sites. Standard property insurance policies provide little or no coverage for these risks, unless specifically endorsed for that exposure. Brotherhood Mutual offers a builder’s risk endorsement. Ask your Brotherhood Mutual agent for more information about this important protection.
Construction Bonds Can Provide Protection
In addition to protecting people and property during construction projects, ministries should also consider what they will do if their contractor is unable to finish their project on time—or at all.
Construction bonds reimburse for extra costs incurred when construction projects are delayed or left unfinished. Brotherhood Mutual does not offer construction bonds, but ministries preparing for large construction projects may want to discuss this option with their insurance agent and attorney.
The information we provide is intended to be helpful, but it does not constitute legal advice and is not a substitute for the advice from a licensed attorney in your area. Accordingly, no attorney/client relationship is created through this process, and no legal advice will be provided. We strongly encourage you to regularly consult with a local attorney as part of your risk management program.
