While rates in the broader market for builders risk insurance have been relatively flat this year, rates in catastrophe-exposed regions have increased between 10% and 20%.

And the widespread destruction wrought by Superstorm Sandy is likely to reinforce that trend, experts say.

“In light of what we have seen on the upper East Coast, we are definitely going to see an increase in rates,” said Sheila Hailey, vice president and director of underwriting and operations at Farmington Hills, Mich.-based wholesale broker and underwriting manager Burns & Wilcox.

Scott Nissen, senior vice president with the construction services group of Aon Risk Solutions, a unit of London-based Aon P.L.C., said that given the extent of the storm damages, many primary insurers are likely to reassess the rate adequacy for their books of business in catastrophe-exposed areas.

“There will be a lot of insurers taking a second look at their exposures in the Northeast, and a lot of their underwriters will be looking at their shoes,” he said.

Ms. Hailey said one factor that may exert downward pressure on rates is that new insurers may enter the market to capitalize on the expected surge in demand for builders risk insurance from contractors servicing businesses and homeowners afflicted by the storm.

“There are just so many people that need to rebuild,” she said.

Contractors looking to take advantage of this competitive landscape still will need to exhibit to underwriter the use of best practices, Ms. Hailey said.

“We do look at each risk to make sure that the contractor is properly licensed and at other factors, such as the number of years they have been in business,” she said. “We will also take a look at the company's financials, if we can get them.”

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Underwriters also will credit builders that adhere to best practices in site security as a way to deter theft, such as making sure a building site is properly fenced, locked and lighted.

“The better contractors know to secure equipment and take anything mobile off-site at night,” she said. “Some projects even hire a security service, which will put them in a better category from a pricing standpoint, as well.”

Mr. Nissen said insurers are paying increased attention to issues concerning the timeline and cost of a project, with longer projects viewed as more likely to incur weather risk.

Ms. Hailey agreed contractors need to ensure that the length of the project is reasonable for the task at hand to receive optimum pricing. Projects perceived as rushed or deemed to stretch on too long both may give an underwriter pause, she said.

“You don't want to see a builders risk policy being written for annual term and it's only a $50,000 job,” she said. “On the same note, an underwriter doesn't want to see a three-month, $2 million project.”