Whether you are a project manager who has been running construction sites for decades or a fresh-faced tradie striking out with your own crew for the first time, there is one thing all worksites have in common: the need for construction insurance. Insurance plays a vital role in many facets of life, from your health to your car. You insure the things that are important to you and that would be devastating to lose. Here are a few reasons why you should always sort through your insurance before work begins to make sure it is appropriate for each new job.
Total Coverage Will Vary
The amount your construction insurance covers for one property will not necessarily be the same for other properties. Each new site requires a new quote and further claims to be filed unless you are covered by an extensive, overarching construction policy. Unfortunately, these are typically reserved for huge construction titans, not small- to medium-sized businesses. The last thing you want to happen is for you to get construction insurance, something goes wrong and you find out that you were not covered for even close to the full amount. An accurate reporting in your construction insurance application is so vital to your continued success as a business, and that means staying vigilant during this preliminary process.
Materials Change
Most contractors get construction insurance primarily to keep their expensive raw materials insured against water, fire, insect and other accidental damage. Concrete, timber and your metal fixings, while still important, are not the primary reasons to get this insurance, as they can be easily replaced. Each new site will usually have some rarer and more expensive construction materials which are hard or even impossible to replace. Opulent granite slabs, expensive ebony supporting beams, gold-plated bannisters and so on are more so what your construction insurance is covering you for. This is another reason why updating and being very accurate in your application is so important.
Public Liability
In many cases, a construction insurance policy will also contain your public liability insurance. This is important because for almost every construction project you will ever undertake, a public liability insurance plan will be a legal requirement. You can be shut down for not having the correct public liability insurance, and this can have enduring and hard-to-resolve financial repercussions. Always double-check what your construction insurance includes, and if it doesn't cover your public liability, then get that amended or find a new plan to cover this area of your responsibility.
No one wants to lose money because they made a bad decision. We hope that once you have finished reading this site, you will be in the perfect position to make good choices when it comes to taking out credit, opening a savings account, or investing in the stock market. Everyone who writes for this site is super passionate about this subject. This leads our amateur team to spend many hours researching this subject so you don't have to. We plan to publish regular updates so we recommend that you bookmark this site so you can find is again in the future. Thanks!