Builders Risk vs. an Installation Floater: What’s the Difference?

Builders risk covers specified property for a construction project; an installation floater may cover property being installed, but the names alone do not show whether either policy covers your materials or parties. Compare their limits for property in transit, storage, and installation, then resolve any gaps or overlap with the broker.

The practical question is where each policy’s coverage begins and ends. Materials may be at a supplier, in transit, stored temporarily, or waiting for installation. The specimen form extends coverage to some property in transit or temporary storage, but only under its defined terms and limits. Another policy may have different location restrictions.

Compare covered property, named insureds, transit, storage, installation, testing, and the point at which coverage transfers to the completed building policy. Ask the broker to identify and resolve any overlap or gap between the project form and the installation coverage.