That Sinking Feeling!
For piling and underpinning firms and especially contractors involved in basement construction there has always been a trend amongst Underwriters to apply a Superstructures exclusion effectively excluding any loss or damage to the building or property that gains its support or stability from the works being undertaken by the Insured ie, the Superstructure.
This may result in the underpinning contractor who has failed to shore-up or adequately support a load bearing wall having no cover under his Insurance Policy if the structure subsequently suffers a partial or total collapse.
However, there are a number of ways to overcome this, not least by using an Insurer who is comfortable with the nature and quality of the work being undertaken. If this is not the case, it may be possible to include an element of cover subject to an inner limit for example £500,000 or to simply apply a higher deductible of £10,000 or £25,000 in respect of ‘damage to any superstructure being worked upon’.
Some Insurers will agree to provide full cover but subject to an element of ‘co-insurance’ whereby the Contractor ‘co-insurers’ 10% or 20% of the risk subject to an agreed excess.
As Insurance Advisors to the Association of Specialist Underpinning Contractors we specialise in arranging insurance solutions for Civil Engineering and Specialist Trade Contractors and will be happy to discuss your concerns and provide you with advice and suitable insurance cover.
For more information about MPW please contact:
Telephone 01622 683913
Or visit our website www.mpwbrokers.com