Builder’s risk insurance is coverage specifically designed to cover property during the course of construction including renovation and repair. Typically, the coverage is purchased by either the property owner or contractor. This coverage protects a person’s or organization’s insurable interest in materials, fixtures and/or equipment being used in the construction or renovation of building or structure should those items sustain physical loss or damage from a covered cause.
Builders risk coverage form generally can also pick up an installation floater that covers personal property installed, fabricated or erected by a contractor. Coverage generally ceases once policy expires, is cancelled, property is accepted by the purchaser, your interest in property ceases, you abandon the construction with no intention to complete it or property put to its intended use.
Since builder’s risk coverage only deals with property, it does not include coverage for worksite injuries or design/construction defects. For mishaps that occur on the job, you should rely on liability and workers’ compensation insurance policies for coverage.