Builder’s Risk Insurance in Georgia

Frequently Asked Questions About Builder’s Risk in Georgia

How does builder's risk insurance work in Georgia?

A builder’s risk policy generally covers the structure under construction and, depending on the form, building materials and supplies at the site, in transit or in temporary storage. Some policies offer soft costs or delay in completion coverage by endorsement. Coverage varies by carrier and policy. The policy is meant for the construction period. It usually ends at a point set in the policy, such as completion, occupancy or the expiration date, and permanent property coverage should be ready to take over. It does not cover liability, injuries to workers or a contractor’s own tools and equipment, which need separate coverage.

Who needs builder's risk coverage in Georgia?

Common buyers include homeowners building a custom home or major addition, builders and general contractors with project property at risk, real estate investors renovating houses and small multifamily buildings, developers of commercial and mixed-use projects in Georgia cities, owners of coastal properties rebuilding or renovating, and borrowers whose construction loan requires coverage. Your contract or lender documents usually say who must buy the policy and who must be named on it.

Is builder's risk insurance required in Georgia?

Georgia does not have one rule requiring builder’s risk on every project. Lenders, owners and construction contracts often require it, so check those documents.

How do Georgia building codes affect builder's risk?

Georgia adopts statewide minimum standard codes through the Department of Community Affairs, and local governments that choose to enforce them handle permits and inspections. Your local permit and inspection schedule is a good guide to the policy term you will need.

Does builder's risk cover hurricane wind in Georgia?

It depends on the carrier and policy. Coastal projects may have separate named-storm or windstorm deductibles, limits or exclusions, and inland projects should review wind terms too. An unfinished roof or open walls can be vulnerable to wind and wind-driven rain wherever the site is.

Does builder's risk cover hail damage in Georgia?

Many policies can include hail, but terms and deductibles vary by carrier and policy. Review the wind and hail section of your quote.

How can I prepare a Georgia job site for storms?

Because builder’s risk coverage depends on the carrier and policy, the best way to limit storm losses is often on the job site itself. Many Georgia contractors store lumber, roofing and other materials in a secure, covered area when possible, brace walls and trusses during framing following the design professional’s direction, get the roof dried in and windows set as early as the schedule allows, secure dumpsters, portable toilets and loose debris that wind could move, and keep photos and invoices for delivered materials in case a claim is needed. If a tropical storm watch or warning is issued for your area, check your policy’s terms before you try to change coverage, because carriers may restrict new policies or changes while a storm is approaching.

Is flood included in a Georgia builder's risk policy?

Often it is not, or only by endorsement. The National Flood Insurance Program can insure some buildings under construction, subject to FEMA’s rules, including limits for buildings that are not yet walled and roofed and for materials not stored in an enclosed building on or next to the premises. Construction that stops for more than 90 days before the building is walled and roofed can affect eligibility. Low-lying coastal sites, river floodplains and creeks in fast-growing suburbs can all carry flood exposure, so check the FEMA flood map for your address.

Can I get builder's risk for a renovation in Georgia?

Some carriers write renovation projects. Tell us the scope of work, the value of the existing building and whether it will be occupied.

How do I get a builder's risk quote in Georgia?

Call (855) 449-8552 or use the quote form on this page. Have the project address and county, the project type, the estimated completed value (and the existing structure value for renovations), planned start and completion dates, construction type, roof type and site security, permit status and any coastal permits that apply, and the owner, contractor, lender and other parties to be listed. Share plans, your contract or lender requirements when you request a quote.