Home Construction Insurance

Home Construction Insurance Coverages

Building a new home is an exciting step, but there are many risks to your property as construction proceeds. Home construction insurance protects against damage and loss while your property is under construction.

At Cluett Insurance, we work with Nova Scotians in all stages of home building to ensure you have the most inclusive and affordable construction insurance quote for your project.

New home construction insurance covers a variety of obstacles and risks, including:

  • Damage to materials stored on-site
  • Theft
  • Vandalism
  • Loss of tools

Insurance for a home under construction is different from your home insurance. For example, home construction insurance does not cover belongings such as furniture since it is not typically on-site until after your home is completed. It is also a short-term policy, meaning it is only in place to cover the time of the build. Generally, nine months to one year is protected by one policy. If your build should go beyond this time, a second policy may be required.

Why You Should Have Home Construction Insurance

Your home construction insurance protects you against multiple threats and risks. Your building site will undergo many changes and be left unattended at times. This makes it very different from a home you are currently living in, and thus, the insurance extends to cover things like:


If a person is harmed on that property during construction or while the property is sitting untouched, you could be held financially responsible. Liability coverage included in your home construction insurance protects you.

Weather Damage

New home construction insurance is extremely useful in Atlantic Canada and other windy provinces, where weather can be unpredictable. If building materials blow away, or flying objects damage your property, you are protected.

Construction Losses

During construction, things don’t always run smoothly. Timelines get extended, materials get damaged before they can be used, and tools go missing. Whatever the case, construction loss coverage protects your time and money in these events.

Cluett can help you select the insurance for a home under construction, including all the elements you need for your build.

What Does Home Under Construction Insurance Cover?

As mentioned previously, your new home construction insurance covers more than damage alone. The type of coverage you need depends on the size and location of the project, the type of building, the value of the building once completed, and any previous claims you have made on the project.

Your insurance protects:

  • The structure as it is completed
  • Materials used to complete the project
  • You, in the event of an injury on-site
  • Liability against those injured at the site
  • Costs of damage to tools and machinery

The types of risks you are protected from within your policy are:

  • Fire
  • Hail
  • Wind
  • Theft
  • Vandalism
  • Loss

A general home construction insurance policy will not protect against water damage, flooding, impractical designs, faulty equipment, or mechanical issues.

New home building insurance is not only for homeowners. Real estate developers, contractors, and business owners constructing new business properties can also benefit from this type of insurance product.

If you are beginning a new home build and want to protect yourself and your project from risks, Cluett can help you. For more information and a construction insurance quote, we invite you to contact Cluett Insurance. Call us at 902-466-5328 to learn more.