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Builder Insurance—Ever Wondered Who Covers the Mishaps?

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singer79
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(@singer79)
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Builder Insurance—Ever Wondered Who Covers the Mishaps?

That’s wild—I’m in the middle of my first build and honestly, I just assumed the builder’s insurance would cover anything that went wrong on site. Now I’m second-guessing everything. Did you have to ask for specific proof about subcontractor coverage, or is it buried in the paperwork somewhere? I’ve got a stack of certificates but haven’t really looked at the fine print... Starting to wonder if I should be more paranoid about this stuff.


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volunteer63
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Builder Insurance—Ever Wondered Who Covers the Mishaps?

I get where you’re coming from, but I wouldn’t panic just yet. It’s pretty common to assume the builder’s insurance is a catch-all, but in reality, it’s not always that simple. Have you actually checked what those certificates say? Sometimes they’re just general liability, and sometimes they specifically exclude certain things like damage caused by subs or even weather events. I’ve seen homeowners get burned because they thought “builder insurance” meant every possible mishap was covered.

When I’m working with clients, I always recommend asking for proof of coverage from each subcontractor—not just the main builder. It’s not about being paranoid, it’s about making sure there aren’t any gaps. The paperwork can be a pain to sift through, but it’s worth it. One time we had a roofer who let his policy lapse mid-project and nobody caught it until after a leak... That was a mess.

Have you asked your builder if their policy covers all subs or if each sub is supposed to carry their own? Sometimes builders will have an umbrella policy that covers everyone on site, but other times they expect each trade to bring their own coverage. It really depends on how your contract is written and what state you’re in.

Also, don’t forget about exclusions—some policies won’t cover faulty workmanship or certain types of property damage. It sounds nitpicky, but reading through those certificates (or having someone do it for you) can save a lot of headaches down the line.

I wouldn’t say you need to be paranoid, but being thorough isn’t overkill either. If something feels off or unclear in the paperwork, it’s better to ask now than deal with surprises later.


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christopher_perez
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That’s a solid point about not assuming the builder’s insurance covers everything. I’ve seen some folks get caught off guard by exclusions, especially when it comes to weather or accidental damage. Out of curiosity, has anyone actually had their builder walk through the insurance details with them before starting a project? I always wonder if most people just sign off on the paperwork without really digging into what’s covered... or is it just me who gets a little obsessive about this stuff?


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(@tobysnowboarder)
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Builder Insurance—Ever Wondered Who Covers the Mishaps?

I get where you’re coming from. When we started our custom build, I was probably a bit too into the insurance paperwork, but honestly, I’m glad I was. The builder did walk us through some basics, but it definitely wasn’t detailed enough for my liking. There were a few things—like flood damage or theft—that weren’t actually covered unless we had a separate policy. I think a lot of folks just assume “builder’s got it handled,” but there are so many little gaps if you don’t ask. You’re not alone in wanting to know every detail... I wish more people would push for clarity before signing anything.


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(@poetry197)
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Builder Insurance—Ever Wondered Who Covers the Mishaps?

I get what you’re saying about wanting all the details, but honestly, I sometimes wonder if we’re just overpaying for extra policies that should be the builder’s responsibility in the first place. Like, if they’re managing the site, shouldn’t theft or accidental damage be on them? I get that there are gaps, but it feels like the system is set up to make homeowners pay for every little thing. Maybe I’m missing something, but it just seems a bit much.


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