Builders risk-Dwelling-Or bond for builder w/ Bad credit :?:

fnaprime · Post by **fnaprime** » Mon Sep 25, 2006 12:59 pm

I have a client who is a builder and has bad personal credit. He is In the process of building a modular on a piece of land that has a house there now that also must be demoded. The town and the lender in NJ require that he either has a bond? Or the buyer has builders risk or some type of dwelling insurance. The buyer also has credit issues. Can one of you experts point me in the correct direction? Thanks

CATHIEA · Post by **CATHIEA** » Tue Sep 26, 2006 1:25 pm

You can get a builders risk from Zurich - I believe that there are a couple of MGA's out there that have the program or go the http://www.zurichna.com for more info.

independent guy · Post by **independent guy** » Tue Sep 26, 2006 1:35 pm

Here in IL, we use a farm-mutual insurer that has a builder's risk endorsement...

MAG · Post by **MAG** » Fri Sep 29, 2006 11:24 am

Zurich's BR program is great. You can write the policy in the name of the owner w/the contractor as additional insured or visa versa. For a risk who cannot get a surety bond due to credit history, a pre-paid Builders Risk policy would solve his problem. Our agency's policy is that NO BR policy is bound without the full premium up front. No credit or collection problems to deal with. The policies are written on an annual basis with renewable option to renew a 2nd annual term.

Good luck!

bondguy · Post by **bondguy** » Tue Jan 15, 2008 11:28 am

There are a couple of bonding companies that are still willing to write site improvement bonds even with bad credit. Try giving JD a call at 888-JWBOND-1. He specializes in subdivision/site improvement bonds.