Builders Risk—Value of the
Building on the Completion Date

Q

The builders risk coverage form (CP 00 20 04 02) has what amounts to a 100 percent coinsurance clause based on the value of the building on its completion date. But it is not clear to me what comprises the completed building's value. More specifically, an insured is constructing a building that has a great deal of asphalt blacktop and a sizable amount of buried concrete in the footings and base slabs. He does not feel that he should include these in the amount of insurance, although they are included in the contract price of the building.