Sterling IBL – Full Mega Menu Header (Solutions Tabs Fixed)
Course of Construction

Builder’s risk insurance, the Sterling way.

Protect the structure, materials, and financial investment behind your construction or renovation project before a single loss creates a costly delay.

Get Started
For contractors For property owners For active Ontario projects
Coverage before completion. Builder’s risk insurance is designed for the vulnerable period between project start and final handover.
What it covers

Insurance for the part of the project that is not finished yet.

Builder’s risk insurance, also known as course of construction insurance, is built for properties that are being constructed, renovated, repaired, or improved. It helps protect the project while the building is still unfinished and exposed to job-site risks.

Depending on the policy, coverage may apply to the structure under construction, materials, fixtures, and property intended to become part of the completed build. It can help respond to covered losses such as fire, theft, vandalism, and certain weather-related damage.

Sterling Insurance Brokers Ltd. helps review the project details, contract requirements, insurance limits, deductibles, and policy wording so the right parties have appropriate protection before work begins.

Coverage areas

Protection for common construction-site losses.

Coverage depends on the policy wording, insurer, limits, exclusions, and project details. The examples below show common areas builder’s risk insurance may address.

01

Fire damage

Damage to framing, insulation, materials, or unfinished work caused by a covered fire event.

02

Theft of materials

Loss of eligible building materials, fixtures, wiring, or supplies stolen from the project site.

03

Vandalism

Damage caused by vandalism to an active site, partially completed structure, or covered project property.

04

Weather damage

Certain weather-related losses may be covered, subject to the policy’s terms and exclusions.

Who it is for

Built for contractors, owners, and project stakeholders.

A construction project can involve multiple parties. Builder’s risk insurance helps clarify protection while the project is still underway.

  • General contractors managing residential or commercial construction
  • Property owners building a new home, addition, or commercial unit
  • Developers responsible for active construction sites
  • Renovation contractors working on major remodels or structural improvements
  • Project stakeholders required to show proof of insurance by contract or lender
Claims examples

When the unexpected happens mid-project.

Theft

Materials disappear overnight.

Problem: Copper wiring, fixtures, or building materials are stolen from the site.

Possible outcome: Builder’s risk insurance may help cover eligible stolen materials and reduce project disruption.

Fire

A fire damages unfinished work.

Problem: A fire damages framing, insulation, drywall, or partially completed interior work.

Possible outcome: Coverage may help with eligible cleanup, repairs, and replacement costs.

Weather

Wind damages exterior work.

Problem: High winds damage siding, temporary coverings, or exposed areas of the build.

Possible outcome: A policy may respond if the cause of loss is covered under the wording.

Our process

Clear advice before construction starts.

01

Share the project

Provide the project address, construction type, value, duration, and parties involved.

02

Review the risk

Sterling reviews the exposure, contract requirements, property values, and possible coverage needs.

03

Compare coverage

Policy limits, deductibles, extensions, and key exclusions are reviewed before you move forward.

04

Bind the policy

Once coverage is selected, Sterling helps arrange the policy documents and proof of insurance.

Questions

Builder’s risk insurance FAQs.

Is builder’s risk insurance required in Ontario?

It is not always legally mandatory, but it may be required by a lender, project contract, property owner, developer, or municipality. Even when it is not required, it can be an important way to protect the investment in an active project.

Who pays for builder’s risk insurance?

The responsible party depends on the contract. It may be the property owner, general contractor, developer, or another stakeholder. The important part is making sure the right parties are properly named or included.

When should coverage be arranged?

Builder’s risk insurance should usually be arranged before construction begins and before materials arrive on site. Waiting until the project is active can create unnecessary gaps.

Does it cover tools and equipment?

Builder’s risk coverage often focuses on the building, materials, and property intended to become part of the project. Contractors’ tools and mobile equipment may require separate contractor’s equipment coverage.

Does it cover poor workmanship?

Builder’s risk insurance typically does not cover defective workmanship itself. Depending on the wording, resulting damage from a covered event may be treated differently. Sterling can help review this before coverage is placed.

Get started

Protect the project before work begins.

Whether you are building, renovating, or managing a commercial construction project, Sterling Insurance Brokers Ltd. can help you review builder’s risk insurance options with a clear, professional approach.

1939 Ironoak Way, Suite 205, Oakville, ON 905-864-0057 insure@sterlingibl.com

Coverage availability, terms, limits, exclusions, deductibles, and pricing vary by insurer and project details. This page is for general information only and does not replace policy wording or professional insurance advice.