House Flipping Insurance: Coverage Guide | MM Insurance Associates

Frequently Asked Questions

What insurance do house flippers need in Wisconsin?

House flippers need builder's risk insurance (during renovation), general liability, vacant property coverage (before renovation starts), and commercial auto if you use vehicles for the business. You may also need workers compensation if you hire helpers.

What is builder's risk insurance for house flipping?

Builder's risk insurance covers a property during renovation against damage from fire, wind, theft, vandalism, and other covered perils. It protects both the existing structure and the materials and improvements you add.

How much does builder's risk insurance cost for a flip?

Builder's risk insurance typically costs 1-4% of the total construction budget. For a $200,000 renovation, expect to pay roughly $2,000 to $8,000 for the policy period.

Can I use homeowner insurance for a property I am flipping?

No. Standard homeowner insurance does not cover vacant properties or properties under renovation. You need specialized builder's risk and vacant property coverage for flip projects.

Does MM Insurance cover multiple flip projects at once?

Yes. We can set up a builder's risk program that covers multiple projects simultaneously, which is often more efficient than purchasing individual policies for each flip.