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If the Residential home builder told you their policy will protect you when building a new home you may want to ask a few questions

If you don’t own the land or the home until the project is complete you are ok

The residential home builder is responsible for the home until they hand you the keys at closing

But if you own the land and want to build a new home and searching for a custom home builder

You are going to need a special home insurance policy not a builders risk policy to get the protection you need


A standard home insurance policy will not cover any claims when a home is vacant and under construction

Only a few home insurance companies in Michigan will offer a special endorsement or add on that will give you the coverage you need from start to finish

One policy is all you need but you need to make sure you have the right policy

Learn more about Home Insurance for New Construction click here

What is the difference between a home insurance policy and a new construction home insurance policy?

The New Construction home insurance policy has special endorsements that protect you and the home

Theft of Building Materials is not a normal coverage on a standard home insurance policy but when your home is under construction the policy includes this important coverage option

If a home is vacant over 60 days with no electricity a regular home insurance policy could exclude all coverage but with the under construction policy this risk is acceptable

You may qualify for our new Home Under Construction Insurance program

You may qualify if

  • You intend to hire a licensed and insured contractor to build or renovate your home
  • You complete the project in 12 months
  • You intend to occupy the home once the project is complete
  • The insurance policy is for you not the contractor

If you would like to learn more about the NHCP for new home construction projects

About the Author: Anton Thornquist
Anton Thornquist is the owner of CTG Insurance. Anton purchased CTG from his grandfather Ralph, and expanded the company to begin covering nonprofit organizations of all sizes and causes, as well as human services organizations. Anton saw how these sectors were underserved much like churches were back when the company was founded, so now CTG seeks to help even more kinds of organizations with their important work.

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