Insurance on a Rehab

What kind of insurance do you get on a property that you are rehabing during the rennovation process and how much does this run per month. In scenarios im looking at properties are in the 115-145 range brv and 300-325 arv.


I’m researching this right now… It doesn’t look promising… Some Companies (State Farm) want occupancy within 30 days of coverage begin date in order to even underwrite… Others will write policies but they seem to be at LEAST TWICE as expensive as Occupied… The Occupancy has to be declared at time of insurance, and so it gets written as “Currently Vacant”. My 1st quote came in at $769 on a $60,000 purchase!!!.. I’m in PA…

What you ask for is a builder’s risk insurance policy. It covers the vacant property for normal hazards like fire, but also the jobsite so if you have brought in replacement windows and doors or even compressors and equipment and it is stolen the policy covers it. These policies vary in cost but in Texas cost around $700 to $900 for 3 months. Generally they cancel as soon as someone moves into the house. If it takes you 1 month to rehab and somebody moves in the next month you loose the third month. Some companies will apply the unused portion to the permanent insurance.

my homeowner’s company (nationwide) writes the policy, but the actual insurer is some 3rd party co (scottsdale, I think). it’s easier than trying to locate an insurer on my own: just a phone call.

You need to get in touch with a insurance broker who can do this “dirty work” for you. Also…the insurance is going to be riskier so expect to pay more. Bigger the risk the bigger the monies.


I ran across a company that specializes in insurance for renovators(rehabbers). They even offer policies by the month. Check them out at

I just completed a 6 month rehab project, and used Wrenn Insurance, my monthly bill for $100,000 of insurance was $94. I’m in the Kansas City area and they have been speaking at the KS and MO REI meetings . I believe the actual policy was underwritten by Lyolds of London.

When you used Wrenn’s services did you do it online, call it in, etc.? Which method worked for you? What dept? Sorry for the questions.


Their phone number is 800-790-4872. The person I worked with, Tom Jouras, who recently left the company, so I’m without a contact now. You might try asking for Heather Pruitt, she sends me my monthly invoices.

I pulled their folder and their marketing letter says: This program is being offered in 24 states. They have been doing business nationally with as many as 170 of the HomeVestors of America franches as their broker of choice.
Benefits include - montlhy billing, competitive rates, payments by credit card, coverage with national carriers, same day proof of insurance at closing, no charge for flipping property within the same month.