Who should buy the policy for a hotel being built? The contractor building it or the Hotel owner or both? Builders risk
Total Comments: 6
Posted: Thu Jun 12, 2008 02:36 pm Post Subject:
Typically I've seen the general buying the Builders Risk policy. If I were to put my own thought into this I'd say that the owner should not need to pay for this expense as they would be able to hold the general responsible under the terms of the contract if something goes wrong so I don't see why they should need to pay for the policy.
Keep in mind that I'm an adjuster not an agent. I usually only see these things _after_ a loss has occured. An agent who sells the policy could probably give better information.
Posted: Fri Jun 13, 2008 06:31 am Post Subject:
Hi,
Yes the builder's risk policy is for the contractor. This is because the insurable interest is there amongst all the traders & subtraders contributing to the construction work. I'd personally believe it is the contractor's responsibility to bear the losses arising out of any damage that is the outcome of his mistake.
Till the construction is over the owner of the hotel/building does n't share the same insurable interest due to a lack of this responsibility. I say this since the constructional process doesn't offer any opportunity for mistakes to be conducted by the owner & would count upon the consequences of all acts performed by the contractor only.
PermaBay
Posted: Fri Jun 13, 2008 07:27 am Post Subject:
Hi all..there are some legal cases where damages to a part or segment of such a construction may have caused considerable damage to the people around it. Under such circumstances, a legal court would hold the aforementioned 'insurable interest' to be associated with not only that particular segment but the whole structure associated with the construction. The outcome of such cases always established how losses arising that way had to be borne by the builder's risk policy. Hope that fits in to your query! Corba+
Posted: Fri Apr 05, 2013 11:12 pm Post Subject:
Agents, if your client has a hotel, motel, apartment, etc. you should have them look into Bed Bug Liability insurance. Professional Liability Insurance Services offers a unique program to cover your clients for Bed Bug infestations. Here is the link to their storefront [Link deleted per TOU]
Posted: Sat Apr 06, 2013 04:01 pm Post Subject:
The contractor building it, I believe.
Posted: Mon Apr 08, 2013 02:01 am Post Subject:
Great insight, Patricia. Really clears up the situation.
Posted: Thu Jun 12, 2008 02:36 pm Post Subject:
Typically I've seen the general buying the Builders Risk policy. If I were to put my own thought into this I'd say that the owner should not need to pay for this expense as they would be able to hold the general responsible under the terms of the contract if something goes wrong so I don't see why they should need to pay for the policy.
Keep in mind that I'm an adjuster not an agent. I usually only see these things _after_ a loss has occured. An agent who sells the policy could probably give better information.
Posted: Fri Jun 13, 2008 06:31 am Post Subject:
Hi,
Yes the builder's risk policy is for the contractor. This is because the insurable interest is there amongst all the traders & subtraders contributing to the construction work. I'd personally believe it is the contractor's responsibility to bear the losses arising out of any damage that is the outcome of his mistake.
Till the construction is over the owner of the hotel/building does n't share the same insurable interest due to a lack of this responsibility. I say this since the constructional process doesn't offer any opportunity for mistakes to be conducted by the owner & would count upon the consequences of all acts performed by the contractor only.
PermaBay
Posted: Fri Jun 13, 2008 07:27 am Post Subject:
Hi all..there are some legal cases where damages to a part or segment of such a construction may have caused considerable damage to the people around it. Under such circumstances, a legal court would hold the aforementioned 'insurable interest' to be associated with not only that particular segment but the whole structure associated with the construction. The outcome of such cases always established how losses arising that way had to be borne by the builder's risk policy. Hope that fits in to your query! Corba+
Posted: Fri Apr 05, 2013 11:12 pm Post Subject:
Agents, if your client has a hotel, motel, apartment, etc. you should have them look into Bed Bug Liability insurance. Professional Liability Insurance Services offers a unique program to cover your clients for Bed Bug infestations. Here is the link to their storefront [Link deleted per TOU]
Posted: Sat Apr 06, 2013 04:01 pm Post Subject:
The contractor building it, I believe.
Posted: Mon Apr 08, 2013 02:01 am Post Subject:
Great insight, Patricia. Really clears up the situation.
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