$270 to $400 for Builder's Risk Insurance on $405k rowhouse in DC

[Shawn Oh]

Hello,

I have a row house in Petworth, DC that I will be purchasing for $405k, looking at ARV of $675k, and wanted to know how much I should be paying for Builder's Risk Insurance and if these are adequate coverage.

The quote I have so far are,

Special Form Coverage
Replacement Cost - $550,000
$1,000,000 Premises Liability
$5,000 All Other Perils Deductible/$7,500 Theft Peril Deductible
$396.00 Monthly Cost

Or

Basic Form Coverage
Renovation Project
Replacement Cost - $550,000
$1,000,000 Premises Liability
$5,000 All Other Perils Deductible
$269.50 Monthly Cost

The Basic coverage would cover; 

Fire; Lightning; Explosion (includes Sonic Boom and Water Hammer); Windstorm and Hail; Smoke; Aircraft and Vehicles; Riot or Civil Commotion; Volcanic Action; Sprinkler Leakage; Sinkhole Collapse; Vandalism/ Malicious Mischief.

And Special would cover on top of Basic coverage;

Falling Objects; Weight of Snow, Ice or Sleet; Water Damage; Collapse (Additional Coverage); Theft; Risk of Direct Physical Loss (subject to policy exclusions).

Please provide your insight into whether this is adequate price/coverage. What other questions should I be asking them?

Thanks in advance,

Shawn

[Curt Smith]

We've left the national carriers here in Atlanta.  They got to be too much work.  Needing pictures of houses.  Auto owners used to be lowest priced, then American Family...   But non have their own vacant/builders risk.  They'd go to their 2ndary market and prices would be sky high like this.

I'm moving all our rentals to NREIG.  Give this person a call re your vacant needs:

Bethni Moppin, Coverage Consultant

National Real Estate Insurance Group

Affinity Group Management

7509 NW Tiffany Springs Pkwy #200

Kansas City, MO 64153

P: 913-951-3285 / nreinsurance.com / F: 913-894-6534

Let us know of you save any.  Hope you do.