What Insurance Does An Owner Builders Need?

If you want to renovate your house or planning to build your dream home, Owner Builder insurance might help you to complement your wish. An owner builder is one who intends to build a new home or renovate or extend his/her existing property without the monetary help of registered builders.

An owner builder works as the authentic builder and has the very responsibility of supervising subcontractors, workers, or visitors to the construction site. Therefore the person is reliable to take responsibility if anyone gets injured.

Insurance requirements vary for separate states, and as it involves various construction activities, it involves certain risks. Therefore, to safeguard the life involving in the construction site, the person should secure specific insurance.

The following insurance is some of the best options you should have before to start building your property.

Public Liability Insurance: this insurance covers all kinds of third party injury as well as damages of property. Always confirm your subcontractors for certified contractor insurance and make sure they possess their personal compensation insurance.

Construction Insurance: Construction insurance is an integral part of avoiding any unforeseeable risk during construction. It can be any fire damage, storm, wind damage, theft, water damage, so on.

Workers compensation: It is only applicable to the very workers who are employed at the site of construction.

Personal accident or injury insurance: it ensures the safety of the owner builder from any accident in the construction site.

Voluntary works: It is essential if you have your family and friends working on the construction site for free.

Each state has their own requirement for owner builder, therefore before you initiate your construction plan make sure you are well-aware regarding the insurance coverage, terms and condition.

More to know

The most common mistake owner builders commit is they wait until they have partly commenced construction before registering the insurance. It is advisable not to assume the covered areas of the insurance; therefore, it is better to confirm the details of the insurance coverage with the individual policy maker. Discuss the entire plan with the owner builder insurance expert to identify what policies one should be registered with.