Over 21 percent of accidents that happened in 2016 were in construction, equating to one in five worker deaths, according to statistics from OSHA. That’s why it’s so necessary for all types of construction projects to be covered. Not all projects are small; some projects are huge and difficult, taking a significant amount of time to complete. Those types of projects often have more to lose, thus costing that much more to cover. For those large projects, wrap-up insurance is an important coverage.
There are two types of wrap-up insurance to be aware of: owner-controlled insurance programs (OCIP) and contractor-controlled insurance programs (CCIP). There has been a recent rising trend in CCIPs over OCIPs, with underwriters giving better rates to contractors over owners. If you’re not sure which type of insurance is right for you, then read on. This is construction wrap-up insurance, CCIP:
When You Need a CCIP
When you need wrap-up insurance in Columbus, Ohio, a CCIP could be the answer to your problems. A CCIP comes in handy for construction managers and general contractors who need to purchase a policy where everyone will be covered. The wrap-up will include a bundle of different coverages: general liability, workers compensation and umbrella coverage. These coverages will qualify for everyone under this sole policy, for the entire duration of the project. A CCIP is not only cost-effective, but it’s also a great way to assess risks and isolate them. On top of all that, a CCIP will also eliminate any dual coverage that you might have. All in all, everything depends on the sheer size of the project and the surrounding state laws.
Benefits of a CCIP
Having a CCIP is imperative for contractors that need coverage. Some benefits of having a CCIP include:
- Constant risk transfer for all documents
- Zero deductibles
- Premiums to include all of the costs
- Consistent return-to-work programs
- Well-known crisis management policies
If a successful CCIP is run, then a general contractor could see an increase in profit on a job from 1 to 1.5 percent.
CCIP Challenges
With a CCIP, everything falls onto the contractor: a contractor holds the keys to administration and controls who enrolls in the program. On top of holding control over the program, the contractor also holds all of the financial risk. Therefore if the CCIP is to thrive, it’ll need the help of the contractor who set it up.
About Haughn & Associates
Founded by Michael Haughn in 1986, Haughn & Associates is a full-service, family-owned, independent insurance agency based out of Dublin, Ohio. H&A strives to provide the best possible price and unique insurance solutions across a myriad of industries, including construction, IT, Habitation & Commercial Property, Agriculture, and Engineering. Devoted to providing the best of business insurance, life and disability insurance, personal insurance, employee benefits, and bonds, H&A is proof that success lies in long-standing client relations and satisfaction. To learn more about how H&A can be of service to you, contact us at (877) 802-2278.