Before anything is started there are several types of Insurance that need to be in place to protect the actual structure, the custom home builder and the subcontractors. Who pays for and obtains the insurance depends on the contract. It is up to you to understand what is needed and make sure it is in place before custom home construction begins. A brief explanation of each is listed below.
Builder's Risk
This protects the custom home while under construction for things like wind or fire damage, vandalism and theft. It includes limited liability protection.
Worker's Compensation
This covers injuries or lost time that occur on the job. Generally it is the custom home builder subcontractors and suppliers that carry this. the buyer may also obtain this during custom home construction. Check state requirements.
Liability
All parties working or attending at the site should have auto and general liability coverage throughout the custom home building process. The home buyer should make sure they have adequate coverage in this regard.
Doing some off the work yourself is not usually a good idea. You may perceive that it will save money and possible time but that is not usually the case. You would be required to increase your own insurance at a very hefty price to cover any potential injuries or problems that were a result of something that you did.
If the work you did was not completed on schedule or done incorrectly it would impact on the rest of the job. This could also also affect the warranty offered by the custom home builder. It is best to leave the job to the professionals.
Once the Insurance is in place the work can begin. The site must be prepared first. All trees and obstacles will need to be cleared and a rough driveway cut in. Stakes will be placed to mark the location of the house and temporary power brought in.
This stage can vary in length depending on the condition of the site and whether it is partially cleared or completely wild.