Builder's Risk

WHY DO I NEED TO CARRY A BUILDER'S RISK POLICY?
In many cases your contractor will carry this coverage. If so, be sure you are named as ADDITIONAL INSURED for liability. If your agreement with the contractor does not require them to provide coverage, you will need to purchase your own coverage.

This coverage will cover your building materials and provide you with liability coverage during the initial construction. This coverage covers you as a owner, not as a contractor. If you are acting as your own contractor, you will need spearate coverage for that. Once your equipment has been delivered you need to convert your policy to a standard property policy.

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Package Policy

We offer a complete package policy designed exclusively for IDQ Companies Franchisees.

PROPERTY
Coverage for your building, equipment, inventory, and/or leasehold improvements. We offer a replacement cost policy that will cover your loss up to the policy limits the full cost to repair or replace your property at present day prices. If you choose actual cash value policy your coverage will cover the actual loss less depreciation. It is recommended you purchase a replacement cost policy.

Our package policy also includes crime coverage for burglary, robbery and employee dishonesty.

Your signs are also included in our package policy on the premises and up to 1000 feet away from premises. If you have freeway or billboard signs be sure to advise your insurance agent so that they are adequately insured.

BUSINESS INTERRUPTION
Our package policy includes coverage for loss of earnings when your operation is closed due to a covered peril. Coverage includes loss of profits, wages and other continuing expenses, such as key payrolls. Don't be caught without this coverage, if you have a severe loss you will continue to have an income.

FOOD SPOILAGE
Lose or damage to stock resulting from mechanical or electrical breakdown of heating, colling or humidity control equipment, power failure beyond your control or refrigerant leakage. This coverage does not cover losses as a result of mechanical failure due to normal wear and tear.

GENERAL LIABILITY
Covers third parties (customers) for bodily injury, property damage, personal injury, product liability, fire legal liability, advertising injury and automobile non-ownership liability. Our minimum limit for this coverage is $1,000,000 per occurrence and a $2,000,000 annual aggregate. Our policy also includes $5,000 per person for medical/dental payments. Many times the medical/dental payments are made regardless if you are negligent in order to save investigation and litigation costs.

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Workers' Compensation

No-fault coverage to employees for medical bills and disabilities from injury arising out of and in the course of employment. This coverage is mandatory and regulated and monitored by your state. You are required to carry this policy if you employ, on average, three or more employees. The annual premium is calculated on estimated payroll for the given policy period and at the end of the policy period this payroll estimate is verified and your premium is adjusted accordingly.

ARE OWNERS REQUIRED TO CARRY COVERAGE ON THEMSELVES?
Based on your state law and depending on the entity of your business you may have a choice to be covered or not covered for Workers' Compensation. In most states, if you operate your business as an individual you as the business owner are not covered for Workers' Compensation but you may elect to be covered. If you choose to be covered, you must make sure to include your annual salary with the estimated employee payroll. If you do not have a guaranteed salary, each state has a minimum salary requirement; we can assist you with this.

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Additional Coverage Options

Requirements may vary from state to state.

FLOOD COVERAGE
If you are interested in purchasing flood coverage, we can assist you with placing coverage with the National Flood Insurance Program. In order to get a quotation for additional flood coverage you will need to get a zone determination. You can get that information from your local city hall or we can obtain this information for you for a minimal fee. In addition, you may need an elevation certificate once the zone determination is completed.

UMBRELLA LIABILITY
Coverage which provides higher liability limits to protect against catastrophic losses. In some cases it provides broader coverage than what a general liability policy covers.

UTILITY SURETY BONDS
Serves as a guarantee of performance. The surety lends its name and credit to guarantee an obligation between two parties. Surety bonds are an alternative to significant cash deposit required by the utility company to ensure payment for provided services. Most surety bonds are required to be in effect for three to five years. Some states also require new business owners to provide a sales tax bond. This type of bond ensures the state will receive its sales tax revenue.

EMPLOYMENT PRACTICES LIABILITY
EPLI protects companies against claims that past, current and prospective employees of the company bring against the company, its directors and officers, and its other employees. Common employment practices violations include discrimination (based on sex, age, race, religion or other factors), sexual harassment (including “quid pro quo” harassment claims), wrongful termination, and a variety of other employment-related claims which violate employees’ civil rights or their ability to perform their job in an acceptable and fair working environment.

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