When you own the land upon which a contractor is building your new home, your current homeowners insurance may cover you for some liability, but in Albany, New York–and the rest of the nation–most standard policies will not cover theft or damage to your building materials. This includes materials sitting on your property or already installed in your new home.

One of you, your building contractor or yourself, must have a Builder’s Risk Policy to cover damage to your new property while it’s under construction. It depends on which of you and the contractor are the "owner" of the building materials. Only the "owner" has an insurable interest in the under-construction property.

More than building materials theft must be covered. as even more hazards face your under-construction home. Windstorms, fire and water damage can be even more risky with unoccupied, partially-complete houses in New York. Builder’s Risk insurance gives you the protection you need.

This policy covers the cost to rebuild your home, along with theft of building materials that are onsite during construction. Do not depend on your current homeowners policy to protect your new home construction period. In most cases, if you pay for the building materials delivered to your land for your contractor’s use, you–not your contractor–is the legal owner of these items. Therefore, it is you who have the insurable interest in this material.

When you build a new home on your property, do at least two things.

• Understand the ramifications of the "owners" of the building materials used.
• Understand the limitations of your current homeowners insurance coverage, to be sure you have sufficient liability coverage, should a visitor to your construction site suffer injury, and ensure you are covered for common risks of loss.

When you build a new home in Albany, Saratoga Springs or Schenectady, contact NY Twin Bridges Insurance Agency, serving the Albany area as an independent agent, with access to over 40 top rated insurance companies. You can get multiple online quotes to find the affordable you need to protect your new home.