It is widely known that building your own dream home is incredibly rewarding but it is one of the biggest things that you will undertake and does come with an element of risk. Making sure that you have all the necessary cover is essential. We at building plots for sale offer this service and will be happy to discuss any queries with you. Just email us at email@example.com and we will get back to you.
Just remember that you may be able to cut corners on building materials but no one should try to do this on insurance policies. It is essential that you cover all possibilities and know all of the common policies:-
Site Insurance:- This policy is the similar to normal house insurance (buildings and contents). It is sometimes known as Contracts Works Insurance. It covers you against fire, theft, floods and vandals. It will include your tools and any hired items or caravans on site. Most importantly it covers the cost of reconstructing the property of the worst happens.
Public Liability Cover:- This is essential as it covers you in case someone injures themselves whilst on site. Unfortunately you are liable if someone trespasses onto your property and gets hurt. Policies range from under £100 for a clear plot of land to several hundreds for a plot with a three storey building.
Employers Liability Cover:- You will need this if you are employing people to work on the property for you as you will be project manager and they need protecting whilst working on site.
Income Protection:- This will cover you in case anything happens to you or your partner whilst building your home. The repayments, if you borrow any finance, will be repaid. There are a few, Critical Illness Cover, Permanent Health Insurance and Life Insurance Cover, which will pay off the self build mortgage if one of you dies.
JCT Clause 21.2.1 Insurance:- This policy covers you against such things as subsidence or soil collapse. It covers you against non-negligent damage. It is called a Joint Contracts Tribunal Clause and it covers you and your builder. Policy prices vary but architects and surveyors can best advise you. Again you can email any enquiries to firstname.lastname@example.org and we will be glad to be of help.
Restrictive Covenant Policy:- Restrictive covenants are placed on the land by the previous owner, such as backlands developments of big gardens. A policy protects you in case of a breach.
This list may seem informative but exhaustive too and we hope to have explained most policies in the easiest of terms. The important thing is not to be fazed by it as you will always be covered if you use professionals to check everything for you. Again if we can be of any help please email us at email@example.com