Which of the following is NOT typically covered under a builders risk policy?

Study for the Certified Insurance Counselor Commercial Multiline Exam. Utilize interactive flashcards and multiple-choice questions, all with detailed explanations. Prepare thoroughly for your exam!

A builders risk policy is specifically designed to cover buildings or structures that are under construction, as well as materials and supplies located at the job site, which are essential for the construction process. Temporary structures such as scaffolding are also typically included, as they are necessary for the work being performed.

Contraband, however, is not covered under a builders risk policy. This is because contraband refers to goods that are illegal to possess or transport, and insurance policies typically exclude coverage for illegal activities or items classified as contraband. Since the intent of a builders risk policy is to protect legitimate construction activities and materials, contraband does not fall within its scope of coverage.

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