Q: What insurance protection does our ministry need for a construction project?

A: In addition to liability insurance that can protect people from the costs associated with injuries on construction sites, there are other risks associated with building projects that require special insurance.

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.

Recommended Resources

Learn more about this topic with our article, Construction Challenges.

*Important information: Brotherhood Mutual is pleased to provide Legal Assist as a complimentary resource. The services we offer through Legal Assist are intended to provide general legal information to our current and prospective policyholders.

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.