Construction – Risk Overview .
The construction industry involves multiple risk categories ranging from contractual to
personal injury and as such has been the focus of claims in the past. In many construction industry cases taken it is the directors and officers who are the focus of actions which may persist long after the project they relate to has been completed. Cover4Directors are experienced in providing specialist cover to the senior personnel in construction firms to address such claims.
Recent economic shocks have contributed to an environment which seeks to impose ever more stringent corporate governance guidelines on the construction industry, this is against a backdrop of increasing levels of litigation for issues ranging from environmental impacts to health and safety breaches. These developments have resulted in greater pressure on the company directors and officers as they are often the focus of these actions.
Corporate Governance – Health & Safety – Environmental
The standard corporate governance issues apply to construction companies. In addition to these issues however the tendency to use Special Purpose Vehicles for individual projects can lead to complications with regards to insurance for the directors and officers, these complications are often in relation to claims which arise after the project has been completed and the SPV wound up, this needs to be specifically addressed in structuring any cover.
As expected Health and Safety exposures are extensive within the construction industry with the potential for expensive statutory investigations in addition to significant damages and other expenses. These can be covered with the right policy.
Construction companies face extensive environmental claims risk which can manifest prior to, during or after the completion of a project and can persist for many years. These risks can be insured against but must be detailed and addressed in any cover being taken out as they are not standard. .
What D&O cover does
Our D&O policy provides protection to the Directors and Senior Personnel and will be tailored to address the particular exposures relating to the clients activities and exposures.