Contractors and Construction related Risks

Ford Risk Limited has worked with many differing Contracting Companies across various Construction related sectors, including Housebuilding. The one factor that Ford Risk Limited is looking to identify is high quality management. This is the single aspect which most influences the standards within a given company and allows exceptional rates to be negotiated by Brokers with Insurers.

No two construction companies are the same and therefore, we believe that Brokers should be cautious about trying to take the majority of their clients to a single specified insurer, as often happens with "Trade Schemes".

Many clients require variations to standard wordings and the more demanding a client company is, the more likely that the final policy wording will suit their purposes. Too often, client companies are happy to accept that the Broker knows what they need in the belief that it is the Broker's duty to provide it. There is an equal responsibility for companies to make intelligent and thorough enquiries which may cause discomfort but ultimately provide increased understanding and security.

When choosing a Broker, it is important to look for an adviser who questions everything and leaves little to chance. This can be seen by the Broker's attitude to Warranties and Conditions Precedent. Client companies require more and more cover but equally want certainty, at the time of a potentially catastrophic claim. What could be better than wide wordings with a quality insurer, at highly competitive rates?

We recently worked with one company which had received a warning letter from their existing broker informing them that the Insurance Company had contacted the Broker, advising them that on one policy the loss ratio was over 200% for the last insurance year. Taking a number of factors into consideration, the client company interpreted this as a warning that there would have to be a significant increase in rates at renewal. A new Broker was introduced by Ford Risk, who worked hard to negotiate an excellent competitive package, with virtually static terms at renewal. This was achieved only as a result of a careful, intelligent strategy.

Please contact us, if you would like to check whether there is a better option available to your company. Tel: 0845 241 1415