What Does Fix and Flip Insurance Cover? A Complete Guide
- Nate Jones, CPCU, ARM, CLCS, AU
- 16 hours ago
- 2 min read
Purchasing a property to rehab and resell is exciting—but it comes with risks. Fires, water damage, theft, and construction accidents can derail your project. That’s why fix and flip insurance is essential for protecting your investment.
At Wexford Insurance, we help property owners and investors nationwide secure fix and flip insurance tailored to their rehab projects.
1. Property Coverage During Renovations
The core of any fix and flip insurance policy is property coverage, which protects the physical structure during renovations. This includes:
Damage from fire, smoke, or lightning
Water damage from burst pipes, accidental leaks, or storms
Wind, hail, or storm damage to partially completed structures
Property coverage often extends to materials stored onsite or in transit, ensuring your construction supplies are protected.
Fix and flip properties are often vacant or under construction, which increases the risk of accidents. Liability coverage protects you if someone is injured on your property, including:
Construction workers or subcontractors
Visitors or prospective buyers
Delivery personnel
Liability coverage may also cover legal costs if you are sued for damages or injuries related to your rehab project.
3. Theft and Vandalism Protection
Construction sites and vacant properties are targets for theft and vandalism. Typical coverage includes:
Stolen construction materials, appliances, and tools
Vandalism to doors, windows, or unfinished walls
Damage from malicious mischief
According to the National Insurance Crime Bureau, theft and vandalism are among the most common losses on construction projects, making this coverage critical.
4. Optional Endorsements
Depending on your project, you may need optional coverage to fill gaps in standard policies. Common endorsements include:
Flood or earthquake coverage (often required in high-risk areas)
Soft costs coverage for additional expenses due to delays
Debris removal after covered losses
Extended coverage for materials in transit or off-site storage
These endorsements ensure you have comprehensive protection for unexpected setbacks.
5. Coverage for Vacant Properties
Many rehab properties are vacant for several months, leaving them exposed to risks. Standard homeowners insurance typically excludes vacant properties, but fix and flip insurance covers them, providing peace of mind until the property is sold.
Why Standard Homeowners or Landlord Insurance Isn’t Enough
Using a standard homeowners or rental policy for a fix and flip property can leave significant gaps, including:
No coverage during construction
Exclusion for vacant properties
Limited liability protection for contractors or visitors
Fix and flip insurance fills these gaps and protects both your investment and your liability.
How Wexford Insurance Can Help
At Wexford Insurance, we specialize in fix and flip insurance for investors across the nation. We help you:
Determine which coverages and endorsements are essential for your rehab project
Protect your property, materials, and liability during renovations
Obtain a fast, customized insurance quote to meet lender or project requirements
👉 Request a fix and flip insurance quote from Wexford Insurance today and make sure your investment is fully protected.
Frequently Asked Questions
What’s the difference between Fix and Flip Insurance and Builder’s Risk Insurance?
Can I get Fix and Flip Insurance for vacant or unoccupied properties?
How much does Fix and Flip Insurance cost?
