The purpose of Builder's Risk coverage is to protect which of the following?

Builder's Risk coverage is specifically designed to protect property undergoing construction. This insurance is critical for covering the materials, fixtures, and any structures that are a part of the construction project while it is being built. It provides financial protection against various risks such as theft, vandalism, and certain types of damage that can occur during the construction process.

The coverage typically extends to the property itself but does not apply to completed buildings once they are occupied, thus distinguishing it from standard property insurance. Additionally, while it may provide some limited coverage for related materials on-site, it does not cover the land itself or the commercial liability of contractors, as these concerns fall under different types of insurance. Therefore, Builder's Risk is essential for ensuring that construction projects are safeguarded against unforeseen events that could disrupt or halt progress.