Builders Risk Insurance Question

n74tg

Am building my own house; doing most work by myself. Builders risk insurance folks don't have any problem with me building it, but they strongly stick to their guns about me promising to have it finished in a year or less. I doubt very seriously that I will finish it that quick.

Do I just lie and promise one year completion only to have policy terminate at end of year for non-completion (at least I would have been covered for that year). Or, does anybody know a company that will go longer than one year?

thanks

PipeGuy

Um...if you're going to committ insurance fraud, it's probably best not to give advance notice.

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copusbuilder

It doesn't have to be a lie if you think you may have it finished.

I would definitely keep looking to see what your options will be at the end of the year. I guess you are paying cash or the bank would not let you cancel.
Still a lot of money to potentially loose. Or at least sleepless nights when storms are rolling through

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bmartin

You can try Chase insurance on the web. I think the agents name is Chase Hunter. She has handled the builders risk on all five of the houses I have built and I think she can do 18 month terms. Try here http://www.chaseagency.com/builderrisktype.asp

scottstef

Why not just renew the policy in a year? I had a rehab that i was doing and the settlement failed to close after 4 months under contract. I called my insurance agent and they simply wrote another policy for the house after the first year was up.

A+Carpenter

WTF

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A+Carpenter

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RYANINMICHIGAN

I agree with Copus. Kind of tough to prove I knew when I started I could not finnish it. Unless I wrote it on some web sight where anyone could read it. If I just kept it to myself then prove it..

MaranathaConstr

Ladies and Gentlemen:

My name is Chase Hunter and am the owner of ChaseAgency Dot Com. BMartin gave me a nice insurance referral above. I would like to respond.

Yes, we do have policies for terms longer than 12 months.

But I want to make sure that everyone understands one very important point: it is nearly impossible to buy insurance from an insurance company after you have started your project. This applies to people who just don't buy insurance in the beginning and to people who buy it but don't finish quickly and their policy expires in the middle of the project.

Insuring a structure under contruction demands rapid progress; otherwise, your project becomes a target for thieves.

And there are many other problems that can arise: financial issues, contractor issues, building inspection rejections..........

Because of these facts, either plan to live or die by the pre-determined completion date or find an insurance company that will insure you for the entire term of the project from the first day of framing.

Sincerely,
Chase Hunter