That could cause you to have to place the policy with a different and possibly more expensive carrier.3.

The carriers won't cover flood damage. 

As a reference I pay $40/mo provided by an A-rated carrier for a new 2021 construction SFR. 4.

If you defraud the insurance carrier, good luck with you claim in the event of the loss.

Correct, this is common where the carrier will need to sign the check as well, but also might withhold some funds until the project is complete to everyone's satisfaction. 

Insurance Carriers & Building Inspectors deny coverage & inspection approvals on K&T & old ungrounded circuits.I did one myself & as @Eric James said it's a couple of days work & for me $400-$600 with an upgraded service feed, upgraded panel & all new wiring to ALL new outlets.

You mentioned a preferred contractor- that *may* indicate that they already have your insurance carrier’s permission/trust to assess the damage and create an estimate on behalf of insurance.

Lennox, Trane and Carrier are more expensive.

I am new at investing just trying to get my toes in the water, would like to know of any books pod casts and websites that could further me in a real estate investing carrier.

There are a few standard carriers that are competitive in that area and will write fully lender compliant quotes.