Renovating a property can be hugely rewarding, both personally and financially. Whether it’s altering the internal footprint of a building to enhance its layout, or building large extensions to accommodate car collections or other passion assets, the whole process is not without its risks.
Chubb’s construction policy can easily be added to an existing household policy and is one way to help alleviate the stresses and strains of property renovations. Designed specifically for our high net worth clients, the cover provides the perfect solution to insuring a property for the specific risks associated with alterations, renovations and extensions. We can even cover the construction of completely new buildings on a clients’ land.
As well as covering damage to any existing buildings listed on the schedule while the project is underway, the policy also extends to paying the costs for temporary repairs following damage to allow work on the project to continue. Any hold up in the building schedule can impact financially whilst causing undue stress to the policyholder and their family.
When it comes to building materials, we provide protection against damage caused by defective design and workmanship and will even cover damage to the actual materials whilst building work is underway.
So how does the policy work?
An existing Masterpiece customer renovated a Grade II listed property and refurbished various outbuildings on the same estate. The project included the construction of a pedestrian feature bridge over an adjacent river and significant external landscaping work.
- Contract value of the works: £4m
- Main house sum insured: £1.1m
Chubb was able to provide cover for contract materials whilst on site without an inner limit or a security warranty. A claim is still valid if the home owner or the contractor fails to set intruder alarms or other security devices when the property is unattended. Chubb also provides cover for subsidence, landslip or heave – common market exclusions – including any damage to the structure of the bridge caused by riverbank erosion.
We’ll work with you and your client to really understand the building project and design the most appropriate programme of cover without the usual warranties associated with this type of cover.
Read and share! Find out more about the steps your clients can take to help prevent a claim occurring during property renovations.
To find out more about our construction policy or to discuss a specific case, please contact Alan Gorman.