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Builder's Risk Insurance

avatty

Well Known Member
Hi, I am wondering what people are paying for builder's risk insurance, which I'm considering buying now that the engine is on its way.

As my project is divided between my hangar and home, I got a quote for $60K, which seems enough for now. I was surprised at the $700 annual premium (about 1.16%) - my only point of comparison is my Cessna 140A, for which I've been paying about 2.5% annually for the hull (remember it's a taildragger).

I asked the broker about the amount of the premium for a policy that, at least in my mind, only guards against fire or theft, and was told it included $1 million in liability coverage. When I asked how an engine in a crate could hurt someone, I was told people sometimes get injured helping owners build their airplanes. But it's hard to believe there are many insurance claims along these lines.

All that aside, can anyone point me in a better direction for builder's insurance?

Thanks!
 
EAA Builders Risk Insurance - written through Falcon. $250 for $40k. Although I received a notice that 'it will be going up this year'.

Traditionally it was an extra $100 per $10k above the $40k baseline. I have my project scattered about in 3 different locations for now so my risk of loss above the $40k is low. But, I'll likely be upping to $60k ($450/yr) since I have part of my engine and avionics components coming in year 2022.
 
I just paid 900/yr for "not in motion" coverage on 150k value. No liability included. Went through gallagher.
 
My builders risk policy through DR Cox, with Global Insurance is $500 for $50K coverage. This will transition to an in motion flying policy when ready to fly - about 6 months.
 
Each year, when my policy renewal comes from Gallagher, they have included the liability coverage, which essentially doubles the cost. Every year, i have them re-quote it for builder's risk only, no liability. You'd think that eventually they would get the message, but whatever. I don't carry any liability on my project ...
 
$500 for 40k plus the liability. In my case the liability covers what is required for my hangar agreement. I would guess this is a common reason for liability coverage included.

Thread is a good reminder to increase the policy now that I’m waiting on engine and avionics.
 
As someone who carries Umbrella liability insurance through the same carrier as my homeowner's, I'd wonder if the Umbrella policy would also cover someone helping me build my plane at my house. I would think so.
 
As someone who carries Umbrella liability insurance through the same carrier as my homeowner's, I'd wonder if the Umbrella policy would also cover someone helping me build my plane at my house. I would think so.

Better ask your insurance agent. My umbrella policy didn’t cover my aviation endeavors. Not sure about the building inside my house. I’m not doing that now, but I did in the past, and I had a separate builders risk policy with my aviation broker.
 
As someone who carries Umbrella liability insurance through the same carrier as my homeowner's, I'd wonder if the Umbrella policy would also cover someone helping me build my plane at my house. I would think so.

I tried to get umbrella coverage with USAA and they specifically exclude airplanes and airplane parts from coverage. Who do you insure with that covers airplanes on a personal umbrella policy?
 
Probably no one, based on experience as an attorney litigating coverage under "excess liability" and "umbrella liability" policies (I know, I know ... we all dislike attorneys until we need to hire one, after which we hate them with a passion .... ).

Coverage under an "excess" policy generally is the same as under the primary insurance policy to which it is excess (which is specifically identified in the excess policy, "this policy is excess to policy no. XXXXX), so no hope there. Excess policies are more common in the commercial (business) sector.

Coverage under an umbrella policy is like excess, but can be broader than afforded by your underlying primary policies, i.e., the umbrella is "broader" than the underlying policies. But this generally is limited to risks not addressed in the primary insurance, not risks that are specifically excluded.

I have an umbrella policy, too, since it's cheaper than buying high limits on auto, homeowners, etc. I do not expect that it offers any aviation coverage, though, either for my flying airplane or my kit.
 
I tried to get umbrella coverage with USAA and they specifically exclude airplanes and airplane parts from coverage. Who do you insure with that covers airplanes on a personal umbrella policy?

Should have been more clear. I have an Umbrella unrelated to aviation. I thought perhaps it could also satisfy some need for yet more liability insurance, since I already carry it for like four other things. I have not yet asked. I am not yet building.
 
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$680 for $75K, not in motion builders risk only for RV7 in April. Went up $80 from last year for same project in same hangar at same airport.
 
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