The builders' liability insurance is usually required or recommended for construction sums starting from €50,000 per construction project.
Up to this amount, private liability insurance typically still applies, but it is better to check the fine print of the policy.
Otherwise, the dream of owning your own home could be over sooner than expected or even turn into a real nightmare.
Also important is a construction all-risk insurance that covers damages to already installed materials and workmanship. For example, electrical cables cut directly above the ceiling, the gable wall knocked down by a storm, or the bathroom fittings destroyed by rowdy youths, etc.
The craftsmen do not provide a second service free of charge.
The premiums for both insurances can be proportionally passed on to the executing craftsmen with appropriate contract design, where the construction management is responsible.
Those who take care of their future residential building insurance in good time and ideally conclude it shortly before the start of construction receive, with most insurance companies, fire and shell insurance for the construction period (usually max. 12 months) at no additional cost. Upon completion or moving into the new house, this automatically converts into residential building insurance after notification to the insurer. Usually, the first premium is due only after that.
I would advise contacting an insurance broker in your area.
Kind regards
Danton
Engineering and Planning Office
Dipl.-Ing. Thomas Brandenburg
Consulting Engineer and Building Expert
Insurance Specialist (Construction Contract)