What does the term 'completed value' typically refer to in builder's risk form?

The term 'completed value' in the context of a builder's risk form refers to the total value of the insured property once construction is fully completed. This sum typically reflects the anticipated market value of the property, including all materials, labor, and any other associated costs up to the point of completion. Builder's risk insurance is primarily concerned with coverage during the construction phase, and understanding the completed value is essential for ensuring that adequate coverage is in place throughout the project.

By ensuring coverage aligns with the completed value, builders and property owners can safeguard against potential losses that could arise from events like fire, theft, or vandalism before the construction is finalized. This approach helps mitigate financial risks and ensures that the property is properly insured at its full potential value once the project is finished. Other options focus on specific elements of the construction process but do not encompass the overall value at completion, which is central to the builder's risk insurance concept.