Builders risk insurance cost in 2026
Builders risk insurance costs $350 to $7,000 per year for a small project policy in 2026, and most people pay about $1,259.
What moves the price
- The finished value of the building is the biggest driver, since cost is often 1% to 4% of the project value.
- Where the project sits matters, because coastal storm, earthquake and wildfire areas cost more.
- A longer build time costs more because there is more time for a loss.
- The building materials matter, because wood costs more to insure than some other materials.
- Higher coverage limits and lower deductibles raise the price.
- Where you live. Prices in big cities usually run higher than in small towns.
What is included
A policy usually covers the structure, building materials and sometimes tools on the site while work is under way. Extra coverage such as flood, earthquake, theft of equipment or soft costs often costs more. Coverage normally ends when the project is finished and the owner takes over.
Builders risk cost per $1 million insured, by project type
| Project type | Cost per $1 million insured |
|---|---|
| Remodeling and renovation | $500 to $1,500 |
| Commercial steel or concrete | $800 to $2,000 |
| Residential wood frame | $1,500 to $3,500 |
| High value custom build | $3,000 to $5,000+ |
Average prices in US dollars. Source: Insureon.
Ways to pay less
- Paying the full year at once usually costs less than paying monthly.
- A general contractor with many jobs can ask about one master policy that covers all projects.
- A project owner may already carry a policy, so a contractor can ask to be added as an additional insured.
- Picking a higher deductible and a short build schedule can keep the premium lower.
What price guides say
We checked 4 price guides and read every number on their pages. They do not all measure the same thing, so the ranges on this page come from putting them side by side.
- Insureon: Builder's Risk Insurance Cost
- NerdWallet: Builder's Risk Insurance: How It Works, Where to Get It
- Distinguished Programs: How Much Does Builder's Risk Insurance Cost and Who Pays for It?
- LatestCost: Average Cost of Builders Risk Insurance: A Comprehensive Guide for Property Owners 2026
Common questions
How much does this cost in 2026?
Builders risk insurance costs $350 to $7,000 per year for a small project policy in 2026, and most people pay about $1,259. Most people pay about $1,259 per year for a small project policy. The low end is $350 and the high end is $7,000.
What changes the price the most?
The biggest factors are: The finished value of the building is the biggest driver, since cost is often 1% to 4% of the project value; Where the project sits matters, because coastal storm, earthquake and wildfire areas cost more; A longer build time costs more because there is more time for a loss.
How can I pay less?
Paying the full year at once usually costs less than paying monthly. A general contractor with many jobs can ask about one master policy that covers all projects. A project owner may already carry a policy, so a contractor can ask to be added as an additional insured.
Where do these numbers come from?
From 4 named price guides: Insureon, NerdWallet, Distinguished Programs, LatestCost. Each one is linked on this page with the date we read it.
Related costs
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| Commercial auto insurance cost | $203 to $276 |
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| Workers comp insurance cost | $76 to $121 |
| Professional liability insurance cost | $400 to $7,000 |