Member Services: CBIA Announces New Builders Risk Program
By Michael Strech
Vice President/Member Services
Last month, CBIA launched a new course of construction/builders risk program underwritten by Great American Insurance. The new member benefit is a competitively priced policy available to BIA/HBA builders of any size.
While pricing is critical, the substance and depth of the coverage is also key. CBIA worked very hard with our business partners to establish a product that can differentiate itself from standard insurance policies. The CBIA Builders Risk coverage provides unique endorsements that broaden coverage for builders – a key element in developing any member benefit.
The timing of the rollout of the new benefit could not have been better. As builders contemplate starting new projects in 2010, they will have the opportunity to utilize the product as part of their ramp-up of operations. Since the pricing of the coverage is competitive, it is believed that many builders will be drawn to the product and be further impressed by the broadened endorsements.
The CBIA Builders Risk Program can also insure existing standing inventory, as long as the builder has ongoing construction operations.
In order to create the program, CBIA turned to long-term partners and insurance experts Jansen and Hastings who were instrumental in introducing the Association to Great American. Over the last 12 months, regulatory issues, marketing arrangements and work processes have been solidified, and the first policy was issued on the day of the product launch.
Brent Fox, senior business developer for Great American, is pleased with the arrangement.
“Our residential construction team understands the need for specialized builders risk coverage, and we bring our experience in the building industry to create the best coverage for our clients," Fox siad."By partnering with CBIA and Jansen & Hastings, we have created a strong team to ensure quality service and products."
Complimenting the program is a separate policy that can insure standing inventory for builders who are not currently working on projects. As the economy recovers and a builder resumes operations, the exposures then can move to the CBIA Builders Risk program.
It is CBIA’s desire to provide a program that gives an immediate benefit to members, not only from a pricing perspective, but also one that can assist builders with insuring standing inventory. As we return to building levels in line with a stable market, the CBIA Builders Risk Program will provide builders with a broad coverage at reasonable rates with little administrative effort, all while supporting the association.
For more information on the program, visit the www.CBIA.org, and click on the Risk Management section under Member Services.
Michael Strech can be reached at (916) 443-7933, extension 312, or at mstrech@cbia.org.