Regional multilines carrier Erie singles out various builders risk extensions of coverage that are designed to attract new business from agents and brokers. Erie Vice President Christine Lucas cites three all-risk coverage components that come at no additional cost, starting with temporary storage of materials at an off-site location, with $25,000 in sublimits.
PRODUCT: Builders risk
COMPANY: Erie (admitted)
BEST RATING: A+
AVAILABILITY: Erie Insurance works with appointed company agents. For a possible appointment, call a local branch office, and to obtain that contact information, log on to erieinsurance.com/about/location/aspx.
FOCUS: Regional multilines carrier Erie singles out various builders risk extensions of coverage that are designed to attract new business from agents and brokers. Erie Vice President Christine Lucas cites three all-risk coverage components that come at no additional cost, starting with temporary storage of materials at an off-site location, with $25,000 in sublimits. The other two are debris removal that address 25% of the direct loss and job site pollution cleanup with $10,000 in limits. The three aforementioned extensions are among the eight that insureds get for free, which “should help us make our builders risk product more competitive and attract the business of agents,” says Lucas, vice president and commercial multiperil product manager.
UNDERWRITING: Erie writes builders risk monoline or as part of either of two packages (Ultraflex or Fivestar Contractors). Ultraflex is a commercial multiperil policy and Fivestar is a business owner policy. Erie’s all-risk builders risk policies insure projects during the construction phase, with coverage typically running no more than a year. The company usually arranges project-specific builders risk coverage for all declared projects. However, it also can deliver blanket or reporting form builders risk protection for residential contractors. Equipment breakdown and business interruption coverages can be purchased. By endorsement, a partial occupancy exception can be added for an apartment building or similar multitenant development. Coverage for hot testing and delay in completion can be added by endorsement. Builders risk capacity generally doesn’t exceed $50 million per project, although larger risks can be covered on a case-by-case basis. Installation floaters are available for trade contractors’ portion of a given risk.
MINIMUM PREMIUM: Varies by risk.
TARGET: General contractors and carpenters who are involved in residential and small commercial projects.
COVERAGE TERITORY: Washington, D.C., Illinois, Indiana, Maryland, North Carolina, New York, Ohio, Pennsylvania, Tennessee, Virginia, Wisconsin, West Virginia.
CONTACT: Christine Lucas, vice president and commercial multiperil product manager, 100 Erie Insurance Place, Erie, PA 16530, 814-870-4775; christine.lucas@erieinsurance.com; erieinsurance.com.
