PRIMARY REASONS FOR CONSTRUCTION CLAIMS
· Pre-existing
Damage
· Incomplete Plans
· Conflicting Specification
· Owner,
Developer Value Engineering
· Unqualified Contractors & Superintendents
·
No inspection of the actual construction by an Independent Professional in the early stages
of the building, by the bonding company.
HOW TO LIMIT YOUR LIABILITY
Once your company has insured an existing
building, have a Consultant visually inspect and photograph the cladding system and MEP systems. A qualified
professional would only need a few hours to determine the building’s condition and document the same.
The contemplation
of litigation begins after award of the bid on new construction projects.
Conflicting plans and specifications start the clock rolling
for change orders and time extensions.
Owner / Developer deletions and value engineering lead to Latent Defect and Deficiency
Litigation.
Lack of Architectural
or Engineering progress inspections allows Contractors and Developers to make changes at their own discretion.
A qualified third
party Inspector visually inspecting the building several months into the project can give the insurance carrier or bonding
company the needed information to help avoid pending litigation.
A qualified professional in the construction industry with
an extensive background in building, such as GCCI, can help you and your company keep the liability low, and the litigation
to a minimum.
The Insurance Company’s best insurance is GCCI.