Does Builders Risk Cover Completed Work?

The ISO specimen ends coverage immediately when the purchaser accepts the property, and otherwise sets later cutoffs after completion or occupancy unless modified in writing. Construction property coverage is temporary by design; it is not necessarily a replacement for ongoing building insurance after handover. Project milestones can occur in stages, so verify how partial completion or phased occupancy affects each building or section. Ask for the effective transition date to permanent property coverage, any extension option, and whether punch-list work keeps builders risk in force. Get the answer in the policy or endorsement. After the builders risk cutoff, the owner’s commercial property or homeowners policy should be ready to insure the completed structure and installed equipment. Arrange that effective date before acceptance or occupancy, not after a certificate is requested. Ask whether punch-list work remains covered, whether partial handover changes the cutoff, and which insurer is responsible for each phase in writing.