When can coverage for Builders Risk claims be adjusted based on insurable interest?

Coverage for Builders Risk claims can indeed be adjusted based on insurable interest at any time during construction. This approach allows for flexibility because the value of the construction project may change as work progresses, including the addition of materials, labor, and various enhancements that increase the overall value of the property under construction. Insurable interest reflects the financial stake a party has in the property, and since this interest can fluctuate throughout the construction process, it is reasonable that adjustments can be made in light of these changes.

The correct option highlights the nature of construction projects, where the dynamics of costs and interests evolve, necessitating ongoing assessment and adjustment of coverage to ensure that it accurately reflects the current state of the project. Therefore, recognizing this dynamic aligns with the principles of how Builders Risk insurance operates, ensuring sufficient protection against potential losses during the construction phase.