If you are building a home at the moment or are considering building a home in the very near future, then you need to consider New Hampshire homeowners insurance during construction. There are many reasons for having homeowners insurance while constructing a new home. You also have a few options as to what type of insurance may be the best for your situation.
Why You Need Insurance During Construction
There are many reasons for having insurance while your home is being constructed. First, if you have a loan to help with the construction of the home, the lender may require you to get insurance during construction. An insurance policy during construction can offer you coverage for the following:
- Damage to already built structures
- Loss of personal property
- Loss of supplies
All of the above can be included in a policy at the moment construction begins on your new home except coverage for the loss of personal property. Once the structure gets to the point of being lockable, you can then add coverage of personal property to the policy.
All of the above are necessary protections. For instance, imagine you are giving a tour of your home during the construction phase to a neighbor or friend and they happen to step on a nail. You would be liable and would need a homeowners insurance policy to pay for medical expenses.
Standard Policy During Construction
The first option you have is to do what many people do while building their home. You can purchase a standard homeowners insurance policy; the one that you will use to cover the home once it is built. This will simplify the process by doing something you will eventually need to do anyway. It will reduce the amount of work needed once the home is built.
When choosing a policy, make sure it will offer protection for the above mentioned items during the construction of the home. After construction is complete, make sure the policy will give you the coverage needed as things can easily change between the beginning and ending of construction. If you can’t find an affordable policy that will allow for this, then you do have another option.
Fire and Dwelling Policy During Construction
A fire and dwelling policy may be the answer for you if you are not satisfied with purchasing an entire policy. This type of policy will be a bit cheaper, and will also offer you adequate protection.
Most dwelling and fire policies will cover damage to the structure and offer liability protection, but will not cover loss of personal property or loss of supplies through either theft or damage. However, if you are living in your old house during construction, you can keep your personal property there. In addition, take a look at your current homeowners insurance policy, some policies will cover the loss of supplies during the construction of a new home.
Shop for the Best Price on Insurance During Construction
You will need to shop around for the best rates and the most secure policy you can find. This will start with getting rate quotes. Getting many different rate quotes is the fastest and easiest way to compare policies. In only 15 minutes or so, you can have multiple New Hampshire homeowners insurance rate quotes to help you make the best decision.