New Jersey Contractors Insurance Is Vital to the Industry
As a contractor operating in the Garden State you must be aware that no construction jobs for businesses and residential properties are done without some type of new jersey contractors insurance policy. Banks, as well as other lenders, simply will not make loans for a construction project unless the proper type of insurance is in place to protect their own interest, as well as others involved in these processes.
Contractors insurance is required on every single project and, in many instances its a requirement to have some sort of specific coverage in order to be awarded a job. Construction insurance provides coverage for materials, natural disasters, other inherent risks, and employees along with the business itself. However, the insurance industry, along with the construction industry, is always looking to provide the latest coverage on each and every unique situation.
A policy that fully protects your interests
You have to realize that you have a lot at stake, including your equipment and tools, while undertaking any construction job, due in part to the additional risk involved in working in open, and often hazardous, construction sites. The many exposures you’re likely to face can also vary from one site to the next, and during all phases of the construction process. These are issues and concerns that are best alleviated by purchasing a builders risk policy.
As in other property policies, there are choices you’ll need to make as to any available coverage options before construction is approved or commences. Clearly the construction lenders, as well as the developer and builder, plan to do a lot of due diligence regarding the builders risk policy’s terms and conditions.
Another area of insurance coverage for buildings under construction or renovation that need consideration has to do with any costs associated with a loss that ends up delaying construction, or possibly increases costs, due to a covered loss under the builders risk policy. An example of this would be soft cost or delay in opening, which can be substantial, but coverage must be added to a builders risk form in order to be covered.
Any questions that you have about the unwritten limitations in an all risk policy also need to be discussed and understood. Speak to a qualified agent who can address your questions and concerns about all new jersey contractors insurance products.