Protecting Your Investment: What a New Construction Home Insurance Policy Should Include

Building a new home is exciting, but it’s also a significant financial investment that deserves the right protection from the start. In Enumclaw, WA, where weather, construction timelines and local building codes can all impact your project, having a tailored insurance policy in place is crucial. But what exactly should a new construction home insurance policy include?

Key Coverages for Homes Under Construction

Standard homeowners insurance typically doesn’t apply until construction is complete. Most lenders and experts recommend a specialized policy, either a builders risk policy or a homeowners policy that includes coverage for new builds.

The following are important features to look for:

• Dwelling coverage during construction—This covers damage to the structure as it’s being built, including materials stored on-site.
• Theft or vandalism protection—Construction sites can be targets for stolen tools, appliances or fixtures. Insurance may help cover the loss.
• Weather-related damage—Enumclaw, WA can experience unexpected storms and wind events. Ensure your policy includes protection against local weather risks.
• Liability coverage—If someone is injured on your property during construction, liability insurance may help cover medical or legal costs.
• Optional endorsements—Depending on your project, you may want to add coverage for items such as ordinance or law changes, sewer backup, or additional living expenses if you’re displaced.

Why Coverage Matters

Even if you’re working with a licensed builder who carries their own insurance, that may not fully protect your financial interest in the project. Gaps in coverage could leave you paying out of pocket for damages or incurring additional costs due to delays.

Secure Your Future Home

Our team understands the unique insurance needs that come with building in this area of the country. Reach out today to review your options and help keep your dream home protected from the ground up.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.