What does the commercial inland marine coverage say about builders risk?

The statement addressing builders risk under commercial inland marine coverage accurately indicates that there are limitations on coverage for temporary storage locations. Builders risk coverage is specifically tailored for construction projects, and it typically protects materials, fixtures, and structures while they are being built or renovated. However, there are restrictions regarding where materials can be stored, especially if they are kept in locations that do not have adequate security or in facilities that are not part of the construction project.

Coverage limits for those temporary storage locations could arise from various factors, such as the risk of theft, damage, or inadequate protection against the elements. Builders risk policies may define conditions or limitations for how long coverage applies to materials once they are moved away from the job site for temporary storage, thus emphasizing the necessity for proper risk assessment and insurance planning during construction.

In contrast, the other options do not accurately depict the nature of builders risk coverage. For example, it is not true that coverage is unlimited (which would compromise risk management practices), nor is it mandated for every construction project. Additionally, while theft of materials can be covered, it is conditioned on specific circumstances that do not universally apply to all instances of theft.