Builder liability insurance
Even if a builder commissions an architect or a construction company to build his own house: he is still responsible for safety on the construction site. Should a piece of scaffolding fall over, a passer-by be injured by a roof tile or a child fall into a pit, the builder can in the worst case incur millions in damages. In order to be protected against this, it is important to take out builder’s liability insurance. This covers the entire homeowner’s liability risk and is intended for owners who want to build their own home or convert or renovate their own property.
construction insurance
However, accidents do not only have to affect people or other people’s property – damage can also occur to the shell during construction, for example due to natural phenomena, vandalism or theft. How high the contribution is depends on the construction sum – which, however, can also be high. But home builders should not be put off by this: “The risk that construction insurance covers is relatively high, especially since a large part of your assets are often invested in a construction project,” says insurance consultant Harald Peschken, according to the real estate portal “Wohnglck”.
Fire extinguishing insurance
In the event of damage caused by storms or hail, for example, the construction work insurance applies, but construction accidents caused by fire, lightning strikes or explosions are not included here. This is what fire shell insurance is for. This allows the property to be completely rebuilt in the same place at current prices. The fire shell insurance usually runs for six months, but you can also get offers for longer protection. In some cases, it is already integrated in homeowners insurance or in a construction insurance package.
construction worker accident insurance
It is not uncommon for people to lend a hand when building a house and have many friends or family help out. However, to ensure that they are also protected against any accidents and damage, construction worker accident insurance is essential. This is done via the trade association for construction (BG Bau), with which the construction workers must be registered. These are then insured in the statutory construction worker insurance. It is irrelevant whether they are paid for their work or not. Anyone who does not comply with this regulation must reckon with a fine of up to 2,500 euros.
term life insurance
But builders should not lose sight of the finances either. Because just as damage can occur on the construction site, there can also be financial bottlenecks. For example, if the financing of the property rests on the shoulders of a single person. If, in extreme cases, this person dies, the loan installments can no longer be serviced and the financing can no longer be guaranteed. If you take out term life insurance, you transfer the risk to the insurance company, which pays the full premiums shortly after taking out the policy. The good thing is that premiums for term life insurance can be claimed as special expenses for tax purposes.
Editorial office finanzen.net
Image sources: dwph / Shutterstock.com
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