Builder’s Risk Policy Basics

There are some instances when a standard homeowners insurance policy won’t cover your property, such as when you’re building a home from the ground up, or you own a vacant property undergoing renovations. What happens if your property burns to the ground, or incurs another type of serious damage or loss? To protect your under-construction or renovation properties, you’ll need a builder’s risk policy.

What is a builder’s risk policy?

A builder’s risk policy provides insurance coverage for either residential or commercial buildings under construction or renovation. If you’re a homeowner, property investor, builder, or contractor building or remodeling a building, this is the policy you’ll need to protect your financial interest. You can purchase a policy for as short a term as one month, all the way up to a year, depending on how long you think the construction process will take. If the project doesn’t finish in the expected time, you can extend coverage. You can also cancel the policy if the building is finished before the end of the policy term.

Depending on what perils you choose to include, builder’s risk policies cover loss or damage at construction sites, including building materials being used to remodel or complete ground-up construction of a building. You can buy a builder’s risk policy with varying deductibles and levels of coverage—your L & M Insurance Group agent can help you decide what policy features are best for you.

What builder’s risk doesn’t cover

Builder’s risk policies do not typically cover liability for accidents or injuries on the construction site that are related to the construction itself. Also, a builder’s risk policy is different from a vacant dwelling policy, which is just what it sounds like: a policy that covers your home or investment property when it is vacant, but not under construction.

L & M Insurance Group has many years of experience helping clients in Brandon, Riverview, Valrico, Gibsonton and surrounding areas choose the right insurance coverage to protect their financial interests. We understand the insurance needs of property investors as well as private individuals, and would love to help you with all your property insurance needs. Please contact us via phone at 813-672-4100 or click here to email us.

Does It Really Matter Where You Buy Insurance?

Choosing the right Insurance Agent Can Make a big difference in your Insurance Rates

Does It Really Matter Where You Buy Insurance?

Yes, and making the wrong choice could be costing you money, service and coverage protection. Purchasing insurance for your car, home, business or life is too important to treat lightly.

Independent Insurance Agents Give You Options

There are basically three ways to purchase insurance. The first is through captive agents. Captive agents sell for just one company, they generally have a familiar name that has been built up with a tremendous amount of advertising, but in the end, you are just buying a brand. They will provide one quote from one company. The second way to buy insurance is with a telephone representative, and once again, you are getting a quote from a heavily advertised brand name with very little choice. Finally, the third way is through an independent insurance agency like L&M Insurance Group–this is the way that will offer you the most choices in coverage options and prices.independent insurance agent


 What Are The Benefits Of Working With An Independent Insurance Agency Like L&M Insurance Group?


  1. L&M Insurance Group represents multiple insurance carriers. In fact, we represent more than 40 different insurance companies. With this many carriers we can insure any risk you bring through our door. For instance, if you called us today for a quote on your auto insurance, we would be able to provide rates from more than 15 different companies and another 20 companies if you needed us to insure your home. By doing this we can provide the best combination of rate, service, company strength and coverage options of any captive agent or telephone representative anywhere.
  1. L&M Insurance Group is on your side. Do you ever wonder who represents YOU and YOUR needs when it comes to insurance? Don’t wonder anymore. WE do.   WE work for you, not the insurance company. We periodically review your coverage to make sure it meets your changing needs and to make sure you are getting the best value for your money. You can’t say that of a telephone representative or a captive agent–they are both employees of the insurance companies.
  1. L&M Insurance Group is your trusted insurance professional. Need questions answered about SR22 insurance, replacement cost coverage vs actual cash value? Need help understanding wind mitigation reports, 4-point inspections or commercial general liability? Call and ask! Try that with a telephone representative who is evaluated on one criteria only–did he/she SELL you insurance.
  1. L&M Insurance Group can do it all. That means whether you need car, renters insurance, commercial auto, homeowners, general liability, life or builders risk–we can help you. It’s nice to have all your insurance taken care of by one professional.
  1. L&M Insurance Group will always treat you like a person. You are not a number to us.   Customer satisfaction is paramount here. We return calls and go out of our way to make each encounter with our agency a positive experience.

L&M Insurance Group: Your Local Independent Insurance Agency

Proudly serving Brandon, Riverview, Tampa and surrounding cities in Hillsborough County and beyond.

Contact L&M Insurance Group today for a free review of your insurance needs. Partner with us and you won’t regret it. 813-672-4100. Click this link to email us.

Florida Independent Insurance Agents

How To Insure Your Investment Properties

Tampa and Brandon Investment Insurance Experts Share Tips on Protecting your Investment Property

Tampa property investorsIf you own investment properties, you will want to make sure you have the right insurance coverage for your situation. Property insurance can protect you from property loss and liability lawsuits, and is an important part of successful property investing. Read on for an explanation of the various types of insurance you might need.

Who needs a Vacant Dwelling policy?

If you have an investment or primary home that has been vacant for 60 days or more, you need a Vacant Dwelling policy.

Who needs a Builder’s Risk policy?

If you’re doing renovation and increasing the value of your home by 50%, your property qualifies for the builder’s risk program.

What type of policy do I need to insure my tenant-occupied property?

There are two types of policies to choose from to insure your property correctly.

  1.  DP1 is a bare-bones, policy offering actual cash value coverage on your personal property.There is no burglary and theft coverage or coverage for accidental water damage. If your air conditioning unit is stolen, this policy will not pay for it to be replaced. If your plumbing leaks and floods the home, there is no coverage.
  2.  A DP3 policy covers everything the DP1 does except that it pays replacement cost instead of actual cash value. It also pays burglary and theft as well as accidental water damage. To protect your property properly, the DP3 is the better choice.

What if my property is in the name of an LLC or trust?

If your property is held in a trust or LLC , you must buy a separate liability policy.
More insurance carriers are available to choose from if your property is owned by an LLC rather than a trust.

We at L&M Insurance understand how properties held in a trust or LLC need to be insured.
In order to insure the property with the company that has the lowest rates and best coverage for you, we need complete and accurate information about the LLC or trust. You will get the most accurate quote if you are able to answer our agent’s questions fully and honestly. If possible, it helps us when insuring the property to have a copy of the trust.

Can I as an investor write multiple properties on the same liability policy?

Yes, as long as they are all in the same name, whether it be in an individual’s name or in the name of an LLC or trust.

When do I need a flood policy?

If your property is in a flood zone and you have a mortgage, you are required to have a flood policy.

What is the difference between sinkhole coverage and catastrophic ground coverage collapse?

If you have a sinkhole claim you can live in the home while it is being repaired. With catastrophic ground coverage collapse, your home has to be damaged to the extent that it is not livable.  Catastrophic ground coverage collapse is included in all DP and H03 policies.

Can I insure a property that has had a sinkhole claim?

Yes, once the repair has been signed off on by an licensed engineer.

When do I need a four point inspection in order to bind coverage on my new purchase?

If your property is older than 30 years.

How can a wind mitigation help me?

If your property is an older home and you have replaced the roof, a wind mitigation can save you hundreds on your property insurance. You can get a four point inspection and a wind mitigation for $95.00.

Please email us or call our office at 813-672-4100 with additional questions.

To get a quote right away through our National Real Estate Insurance Program click here.