Does Builders Risk Cover Flood?

Oregon’s sample contract clause expressly calls for flood and earthquake to be included when required, showing that buyers should not assume those perils are inherent in every builders risk placement. The specimen ISO form also contains specific water exclusions and extensions rather than a universal flood grant. Flood can be defined broadly in a policy to include surface water or overflow, while backup and below-ground water may have separate treatment. Confirm the flood definition, whether the project location is eligible, the sublimit, waiting period if any, deductible, and whether temporary storage locations are included. If the building will later be occupied, a commercial property or homeowners policy may need separate flood insurance after the construction policy ends; do not assume a construction endorsement bridges that transition. Request the flood definition and wording, including surface water, storm surge, and watercourse overflow, plus the project and storage-site limits and the deductible calculation.