Florida Builders Risk Insurance — Course of Construction Coverage
Builders risk insurance — also called course of construction (COC) — protects a building under construction or renovation from fire, theft, vandalism, wind, water damage, and most accidental losses during the project. Florida lenders require it on construction loans, GCs require it of owners on remodel projects, and skipping it can leave you holding a six- or seven-figure loss if something goes wrong mid-build. We write builders risk for ground-up construction, remodels, additions, and tenant build-outs across Florida.
- Ground-up, remodel, addition, tenant build-out
- Hurricane wind during construction (where available)
- Materials in transit and stored offsite
- Soft costs and delay-in-completion options
Builders Risk Quote in 60 Seconds
1 to 24
Month terms
$50K–$50M+
Construction values
Coast OK
Hurricane coverage
Same day
Quotes most projects
When you need builders risk and who buys it
On a Florida construction project the question is not whether to buy builders risk — it is who buys it. The owner is the most common buyer for ground-up custom homes and major renovations because their financial exposure is largest. The GC sometimes carries it on smaller commercial projects. The contract should always specify exactly who insures and what limits.
Hard Costs — The Building
Materials, labor, and building components that are physically incorporated into the project. Covers fire, theft, vandalism, wind, hail, accidental damage, and water from non-flood sources. The largest piece of any builders risk policy.
Materials in Transit and Storage
Covers building materials being delivered to the site and stored offsite while waiting to be incorporated. Critical when long lead-time items (custom windows, cabinets, equipment) are sitting in a warehouse.
Temporary Structures
Job-site trailers, scaffolding, fencing, formwork, signage. Often a sublimit, but important for larger Florida commercial projects.
Coverage details that matter
Soft Costs
When a covered loss delays completion, soft costs reimburse additional architect and engineering fees, additional financing interest on the construction loan, lost rents, and other indirect expenses. Critical on income-producing projects.
Delay in Completion / Loss of Rents
When a hurricane or fire delays project completion, this coverage pays the lost income during the delay period. Specifically for rental and commercial projects where completion timing matters financially.
Hurricane Wind & Named Storm
Builders risk policies in Florida vary on hurricane wind — some include it as part of standard coverage, some exclude it, some include it subject to a substantial named-storm deductible (often 5–10%). We always confirm wind coverage and deductible upfront.
Florida-specific builders risk underwriting
Florida construction projects face unique exposures: hurricane wind during the open-roof phase, tropical storms during the long Florida storm season (June through November), high theft rates for copper, appliances, and tools at unfenced sites, and saltwater corrosion on coastal projects. Carriers price all of this in. Coastal projects, projects with long durations through hurricane season, and projects without overnight security typically pay more.
- Hurricane season (June–November) drives premium on long projects
- Coastal projects → higher rates and stricter wind deductibles
- Open-roof exposure → typically a separate “rough-in” rate
- Site security and fencing → often a credit factor
Term, extensions, and what happens when the project goes long
Builders risk policies are written for a defined term (usually 6, 12, 18, or 24 months) matched to the projected construction schedule. When projects run long, most carriers will extend by 3 months without re-underwriting; longer extensions may require updated information and a small extra premium. We monitor expirations and extend before the policy ends — running out of builders risk during construction is a serious problem.
- 6, 12, 18, 24-month standard terms
- 3-month extensions usually available without re-underwriting
- Longer extensions require updated risk info
- Substantial completion or occupancy ends the policy — buy a permanent property policy before that point
Frequently asked questions
Who is responsible for buying builders risk?
Whoever the construction contract names. On Florida custom homes and major renovations, the owner typically carries it. On commercial projects, sometimes the GC, sometimes the owner, depending on contract type. The mistake we see most often is assuming “the other side” has it — we read your contract before binding.
How much does builders risk cost in Florida?
Typically 0.20% to 0.80% of the construction value for the policy term, with coastal projects, projects extending through hurricane season, and projects with high theft exposure landing on the higher end. A $1M Florida construction project usually runs $2,500–$8,000 total for the policy term.
Does builders risk cover hurricane during construction?
It depends on the carrier and the policy. Most Florida builders risk includes hurricane wind subject to a named-storm deductible (often 5–10% of completed value). Some standard carriers exclude wind in certain Florida ZIP codes during hurricane season — in which case we layer surplus-lines wind coverage. We always confirm wind treatment up front.
Does builders risk cover the contractor’s tools?
No. The contractor’s tools and equipment are covered under the contractor’s inland marine or tools-of-trade policy. Builders risk covers materials being installed into the project, not the tools doing the installation.
What about theft from the job site?
Yes — builders risk covers theft of materials from the job site (subject to deductible). Copper, appliances, HVAC equipment, and tools are the most-stolen items on Florida construction projects. Site security, fencing, and lighting often reduce premiums.
When does the builders risk policy end?
At the earlier of substantial completion, occupancy/use, or the policy expiration date. The moment the property becomes occupied, you need a permanent homeowners or commercial property policy in place. We coordinate the handoff so there is no gap.
Can I get builders risk on a remodel where I keep living in the home?
Yes — renovation builders risk for occupied dwellings is a specific product. The pricing and coverage differs from ground-up builders risk because the occupied portion adds different exposures. We have several Florida carriers writing this specifically.
Florida builders risk for ground-up and renovation projects
Tell us your construction value, term, location, and project type. We will shop standard and surplus-lines builders risk markets and email you a real quote — usually next business day.