How Construction Insurance Can Help Cover Property Damage

Construction projects can involve many potential risks, most notably property damage. Property damage can refer to damage to the tools, equipment and structures involved in the project, or it can refer to elements of the project that cause damage to the surrounding property. Both types of property damage can be costly for a construction business to handle, making insurance essential.

What Is Construction Insurance?

Construction insurance is a policy that offers financial protection to individuals or businesses in the construction industry. It typically includes coverage for tools, equipment, building materials, property damage and liability exposures. This type of policy is essential due to the complexity and riskiness of construction projects that could lead to financial losses or legal liabilities.

What Types of Insurance Helps With Property Damage?

The following types of coverage can help specifically with property damage claims, among others:

• General liability insurance can help financially protect your business from claims of damage to a customer’s property resulting from a project your company completed, such as faulty plumbing.

• Builders risk insurance can help financially cover new construction projects, installation work and remodeling. It can help pay for claims of property damage, theft, weather damage or other risks during the construction process.

• Contractors tools and equipment insurance can offer financial protection for tools and equipment against theft, vandalism, fire, severe weather and other unforeseen events.

• Inland marine insurance can help financially cover tools, equipment and materials while they are transported or stored off-site. It is beneficial for contractors who frequently move their equipment between jobsites.

• Pollution liability insurance can offer coverage for claims related to pollution incidents, including cleanup costs and third-party property damage.

Learn More

For construction insurance near you, contact Wilkinson Insurance Agency.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.