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Ada, OK 74820

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Understanding Builders Risk Insurance

Construction projects are often very complex as builders risk insurance is essential to protecting your investment. Often, newcomers to the industry get confused with the working definition of the coverage provided. Speaking with Moon – Baker Insurance Agency Inc. of Ada, OK will help to get a better understanding of builder’s risk insurance and how it’s the backbone of your construction business.

What is Builders Risk Insurance

Builders risk insurance is specialized coverage for a structure under construction. However, no two building projects are alike, so the coverage will differ. The goal of builders risk insurance is to help a construction company with work property (materials, supplies, and equipment) damage losses due to severe rainstorms, unexpected explosions, theft, vandalism, and other natural disasters. Usually, the wording of the coverage is dictated by the construction project itself. Typically, the length of a builder’s risk insurance policy expires on the expected completion date of the project.

What Does Builders Risk Insurance Cover?

The coverage offered by the builder’s risk insurance policy is strictly for the construction project. Also, covered in the policy are the project’s materials, supplies, and work equipment. Builders risk insurance protects these items on-site, in transit from another location, and if stored in an off-site space. 

On more complicated construction projects, the coverage found in builders risk insurance policy will have a provision for protection on losses that pertain to a failure in meeting the construction project’s deadline. The coverage is designed to protect a business from sales and rental income loss, penalty interest rates on previous loans, and possible pending real estate taxes. As we all come to experience, those expenses will add up quickly when a construction project is delayed. 

Because builders risk insurance is different from each construction project, it’s smart to speak with a member of Moon – Baker Insurance Agency Inc. of Ada, OK. Their experience can design a policy that protects your business needs. Schedule an appointment and speak with someone today. 

Things To Consider When Buying Commercial Insurance

There are many responsibilities associated with being a business owner, and one of them is protecting your business and employees. The best way to do it is to get commercial insurance. It is a type of insurance that protects small businesses and large corporations from unpredictable circumstances. If you are shopping for commercial insurance Moon – Baker Insurance Agency, Inc. serving Ada, OK prepared the list of a few things you need to consider when shopping for business insurance: 

The Type of Business

Considering your type of business when buying insurance is extremely important because it has an impact on your decision. For example, if you own a warehouse where employees deal with hazardous materials, you need to focus on Workers’ Compensation and Liability insurance more that the owner of a bakery or restaurant. Therefore, make sure you take your time to evaluate your type of business and the risks before getting coverage. 

Size of Your Business

Commercial insurance should match the size of your business. For example, if you are the owner of a small company with fewer than 50 employees, a small business policy (also known as Business Owners Policy) is more than enough. If you own a larger corporation, then you might need an additional policy that provides more extended coverage. 

The Terms and Conditions of the Policy

One of the most common mistakes many people do is ignoring the terms and conditions of their policy. Do not be one of them and always read them carefully before signing the papers. If there are certain things that are unclear to you, you can always consult your insurance agent. 

Buying commercial insurance is an important decision. If you live in Ada, OK or any other town or city in Oklahoma, the agents of Moon – Baker Insurance Agency, Inc. will help your business to get the coverage it needs. Give us a call today to find out what we can do for you.