Self-build insurance protects you and your project during the construction phase. For most people, insurance is not a part of the plan, whether they are buying a piece of land or considering getting it designed and built.

But this site insurance is indeed in your interests, as it provides cover against the risks of damages, thefts, accidents, and injuries. This article lists five rock-solid reasons you need customised insurance for your construction project—

Let's understand how this insurance covers your legal obligations and financial liabilities.

  1. An individual, who could be a neighbour, visitor, or just a passerby, receives an injury because of your construction. Or, a neighbouring building receives damages because of construction activities taking place on your site. In either of these cases, you—the owner of the property—will be held responsible, and it is you who will be taking care of people getting injured and properties getting damaged. A suitable site insurance cover ensures that your project does not stop or get delayed.



  2. Individuals working on your construction site are your employees, whether you have hired them yourself or your contractor has hired them. And it is the responsibility of the employer, you, to keep them safe. It is, in fact, a legal requirement in the United Kingdom.



So, if an employee meets with an accident and gets injured or killed, your self-built insurance cover will take care of your financial liabilities. Without a cover, you will not be able to fight legal battles and pay the compensation amount. Therefore, it is advisable not to rely solely on your contractor's insurance; it might not cover your interests.

  1. Starting and completing a construction project, even if it is a renovation or makeover, gives us countless sleepless nights. There are many thoughts roaming across the mind of the property owner during the construction. If you have self-built insurance, you know that everything will be covered and there will be no risk on your project and finances. All your financial insecurities will be secured by this cover.
  2. The property owner can decide the amount of cover. However, you should discuss this with your contractor, peers, and insurance advisor before making any decision on this amount. You can get your site insurance custom-designed too, which gives you freedom to choose and skip clauses that are or are not in your interests. Additionally, you can choose the duration of the cover. Some providers also allow you to extend the duration if your project is taking a little more time.
  3. Your lender will require you to take comprehensive self-build insurance so their funds are safe. It is one of the conditions homeowners have to follow. Your site insurance is the evidence that their investment (lending) is safe and secure.

When you are planning to start construction on your property, if it is surrounded by other buildings, it becomes crucial to have a cover. In case some damages happen to those properties, the cover will protect your finances and legal expenses.