Bordentown, NJ, December 13, 2012 --(PR.com
)-- Hundreds of insurance professionals attending the highly successful forum on “Contractors Professional Liability Insurance - A Visit with Underwriters” at the 32nd IRMI Construction Risk Conference in Orlando, Florida were recently rewarded with the expert insights of leading risk management executives discussing the latest exposures and insurance options confronting today’s construction marketplace.
Hosted by Jeff Slivka, ARM, CRIS, chief operating officer and executive vice president at New Day Underwriting Managers LLC, the session, which was held twice during the course of the event to accommodate the large attendee interest, provided an interactive, informative discussion between senior professionals on the dramatically expanding trends and variations in contractors protective and rectification/mitigation of damages coverage. Also participating in the event were:
Raymond F. Bustamante, Director – Contractors Professional Liability, Catlin Insurance Company
David Grigg, Profit Center Head - Construction Professional, XL Insurance
Marty Andrejko, National Underwriting Director - Professional Liability, Zurich Construction
“Contractors of all types are now facing an increasing array of new professional liability issues based on the challenges produced from the use of new digital technologies like Building Information Modeling (BIM) and the growing demand of owners to achieve faster and cheaper results that include measurable green goals,” says Slivka. “Consequently, these exposures, which range from scheduling and sequencing errors to the mismanagement of subcontractors, can easily cripple firms with unwanted liability.
“This panel provided an ideal forum for helping contractors to manage these risks through a better understanding of the proper coverages available. This includes options such as Contractor’s Professional Liability or CPrL insurance and its ability to mitigate the damages arising from the negligent acts and/or errors in services produced by third parties working on behalf of the construction firm or named insured. Another benefit is that these policies can now also be written to address the exposures associated with LEED and other sustainable initiatives as well as building information modeling.”
During their discussion, the panel recommended the avoidance of contracts guaranteeing a specific LEED or efficiency level. This is because contractors can find themselves without coverage even under a CPrL policy for claims resulting from a lower level of certification than was agreed upon with owners.
Other expert advice from the panel included:
-Concern over warranties since many insurers now include exclusions in CPrL programs and policies
-Adding protective indemnity coverage and mitigation of loss (MOL) coverage parts to the base CPrL product to protect contractors responsible to owners in design/build situations
-Seeking educated and experienced risk management counseling to ensure the proper levels of CPrL coverage for all projects
About New Day Underwriting Managers LLC
New Day Underwriting Managers LLC is a specialty resource for agents and brokers, assisting them and their clients find appropriate, high-quality environmental and construction-related professional liability insurance coverages. The company offers agents and brokers single-point access to an ample portfolio of products and services provided by the nation's largest environmental and professional liability insurance providers. More information about the company is available on their website at www.newdayunderwriting.com.