Managing Construction Risk Through Commercial General Liability Insurance

During a construction or building project, a person with a claim for personal injury or property damage – including most landowners and any third parties involved – will first look to the prime or general contractor and its insurance coverage to pay damages for the alleged injury or damage. Therefore, contractors must ensure that their own insurance policies are in place and afford appropriate coverage for all risks. Furthermore, contractors must confirm that their subcontractors have insurance policies that provide adequate coverage and are in force. Once the construction is complete, or the policy expires, coverage under the policy stops unless the insured obtains an endorsement for completed operations or the policy is renewed.