Builders’ Insurance – why you should consider annual policies

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Annual Construction vs Single Project policies

You know what you need but now you must decide… annual or single project policy.

Single Project policy – great for an owner/builder building their own home and sub-contractors who have the odd side job happening

Annual policy – perfect for businesses that have multiple, ongoing or lengthy projects during the year.

Annual Policy Option – the benefits for your business

The benefits of an annual policy are many and varied so we’ve showcased some of the major benefits to choosing an annual construction policy.

Premium is adjustable

We understand the ebb and flow of business, none more so than in the building game. A few rainy weeks or an extended bushfire season can spell big trouble for the bottom line of many a business. That’s why our policy premiums are based on your estimated annual turnover and are reconciled at renewal.

Save money

Insurers can offer significant discounts on our annual premiums. This policy will save you time and money.

We also know cash flow can be a major concern for businesses, especially small business. With this in mind, you can opt for monthly payments.

Time saving

Who has time to be setting up and canceling multiple single project policies? And it doesn’t even bare thinking about what happens if you forget to insure a new project.

Get it sorted once a year and feel secure in the knowledge all your projects are covered.

Policy renewal

While we’re speaking about policy renewal, at renewal, if you don’t have any new projects coming up, we’ll renew your policy as a minimum turnover until you have a new project. This means even if you don’t have a current job, you’ve at least got continued liability protection.

Products Liability

Should someone suffer personal injury or property damage from using products sold or supplied through your business, this covers you against legal costs and your legal liability to pay compensation.

For example: A builder constructs decking in 2007. Due to rotten timber, the decking collapses in 2010, causing bodily injury to the homeowner and/or their guests. The builder canceled his public/products liability insurance policy in 2009. At the time of the collapse, the builder is uninsured as the decking collapsed after the policy cancellation.

It’s the responsibility of the builder to keep their policy current for the period of the legal statute of limitations. As this may vary from state to state, we strongly suggest you seek out information regarding your liability.

Extended construction period

We can also tailor a policy to cover a project period of between 18- 24 months.

This reduces admin fees which you may incur by extending an existing 12 month policy.

It also eases some of the stress if a project looks like running over schedule, particularly if it’s only going to be by a few weeks or months. You then don’t have to worry about the costs of taking out an extension for just for a few months coverage.

If you need assistance when deciding what the best cover is for you and your business, feel free to get in contact to discuss.

The information provided in this article is general advice only, and is not intended to be a substitute for legal or other advice. General Advice is advice that has been prepared without considering your current objective's, financial situation or needs. Therefore, before acting on this advice, you should consider the appropriateness of the advice having regard to your current objective's, financial situation or needs. Read our complete general advice warning