Can my contractor live in the property while he flips it??

Hi. I have a contractor that I really like, but he lives an hour and forty five minutes away from my newest project. I still want him to do it, so he proposed having him and his 2 guys stay at the house 3 nights a week for the next 5 weeks while they flip the house. Last night, I was told that my normal builder's risk insurance policy that I keep on my flips would be voided if anyone was living in the house while the construction was going on. I was also told that a renters policy wouldn't cover this type of situation. Does anyone know if this situation is insurable, and if so, how? Any help would be much appreciated!