Construction businesses 'should seek specialist insurance'
Construction
4th December 2009
Giles Insurance Brokers Ltd has advised businesses in the construction industry to use a company that specialises in covering the sector to ensure they have policies in place to meet their specific needs, particularly as insurance is such a considerable overhead for such firms.
It is important for companies to get cover that is tailored to their operations to prevent paying over the odds or purchasing more than is required. Policies that construction firms may need include product liability, personal accident and income protection, professional indemnity, plant and tools cover, public liability, contract works, commercial property insurance, employer's liability, legal expenses and directors cover.
An estimated 2.2 million people work in Britain's construction sector, according to the Health and Safety Executive (HSE) and it is the largest and "one of the most dangerous" in the country, with a total of 53 fatalities during 2008-09 and three million working days lost as a result of job-related injuries. The number of people being killed on construction sites has steadily declined since the 1980s, but concerns continue over the relatively high levels each year compared with other industries.
One of the most common causes of workplace fatalities is falling from height and Health and Safety Executive (HSE) inspector Steve Woods recently warned employers about the importance of ensuring such work is "properly planned and supervised and the equipment provided is suitable and maintained in good condition".
Giles Insurance recommends companies ensure they are up-to-date with all new legislation and take out policies that will protect them, their workers, their assets and their business in the event something occurs. Companies must also keep abreast of new legislation and policies and have insurance in case an accidental breach of regulations occurs.
For example, the HSE recently announced details of a new register that applies to the use of cranes of building sites, in the wake of a three-month consultation on the issue. The new rules are a response to increasing concerns among the public regarding the safety of such equipment and professionals, trade unions, contractors and other stakeholders have all contributed to them.
Howard Pearson, Giles managing director (retail), said: "With a growing emphasis on health and safety in the workplace and new guidelines and legislation emerging all the time, it is vitally important that companies of all sizes in the construction industry have full cover for any eventualities, protecting both employees and managers in the event of an accident."
The HSE has reported more than 2,800 people have been killed while they worked on building sites over the past 25 years, emphasising the importance of liability policies. Additionally, a recent global poll by PricewaterhouseCoopers revealed 47 per cent of engineering and construction firms around the world have fallen victim to bribery and corruption over the past 12 months, partly as a result of the economic downturn.
Companies operating in the construction sector should select an insurer that specialises in the industry and understands their specific needs. Giles' advisors have more than 200 years' combined experience in the market and have provided services to over 1,000 firms in the field, gaining recognition from a number of building and construction organisations.
