Builder's Risk

Builder’s Risk Policy is a property insurance policy that is designed to cover property in the course of construction. There is no single standard builder's risk form; most builder's risk policies are written on inland marine (rather than commercial property) forms. Coverage is usually written on an all-risks basis and typically applies to property at the construction site, off-site storage locations, and in transit. Builder's risk insurance can be written on either a completed value or a reporting form basis; in either case, the estimated completed value of the project is used as the limit of insurance. It typically helps protect all of your investments at a job site from damage to a structure in progress, onsite theft, and damage from weather events.

Example:
Done for the day, you lock up the fence enclosure around the job site, securing all the tools and equipment you’ll need to use again in the morning, including your backhoe. In the morning, you find your lock cut, your backhoe overturned, and the rest of your tools smashed and scattered on the ground. Vandals had a field day and now work is stopped.