Insurance Certificates - Contractor Talk - Professional Construction and Remodeling Forum

BRANDY · 12-06-2004, 04:56 PM

Hello, I am new here.

I am trying to gather information on whether or not you would think there is a need for someone specialized to help you in obtaining, verifying and keeping track of the certificates you require of your subs.

I know that in the State of Idaho the requirements for wording, endorsements, etc. has become very burdensome to many general contractor's office personell.

If you would be so kind as to give me your thoughts, I would greatly appreciate it.

Grumpy · 12-06-2004, 07:03 PM

It's always good to know when they are going to expire. I just have netered the exiration dates into my calendar software and will be reminded automatically when the renewal date comes.

**Teetorbilt** · 12-06-2004, 08:32 PM

Netered Grumpy? Must have been a tough day. LOL

TimWieneke · 12-06-2004, 09:02 PM

Brandy,
Grumpy's right and try to get a copy directly from their insurance company if you don't know them well.

Tim

**Teetorbilt** · 12-06-2004, 11:26 PM

Tim's right. Theoretically they can put down a minimum for 1yr. ins. to get a license and not make the next payment or two and get cancelled. The paperwork will show that they are good for the entire year.
Call their company to be sure that they are up to date.

hatchet · 12-06-2004, 11:36 PM

We require a certificate of insurance with us named as an additional insured and depending on how the job is setup with owner (they may provide a CM service) they can also be named as an additional insured. If we don't have a current form - they don't get onsite. We have an online server software that keeps track and lets us know if it's going to expire. But before that we used Excel and checked it monthly while we were doing pay apps.

Grumpy · 12-07-2004, 09:53 AM

Quote:

Originally Posted by hatchet

We require a certificate of insurance with us named as an additional insured and depending on how the job is setup with owner (they may provide a CM service) they can also be named as an additional insured. If we don't have a current form - they don't get onsite. We have an online server software that keeps track and lets us know if it's going to expire. But before that we used Excel and checked it monthly while we were doing pay apps.

Yupe I have my company name on all the certificates as the holder and additional insured... and that's always signed by their insurance broker.

hatchet · 12-07-2004, 06:24 PM

Always a good idea to provide them the form - less headache trying to make their insurance company understand what you're shooting for

Grumpy · 12-07-2004, 08:15 PM

I just send my sub a fax asking them to send me a certificate with my name and address as th eholder and additional insured. I don't require any of that other Nazi idemnification B.S. that so many builders and G.C.'s require.

PipeGuy · 12-07-2004, 08:22 PM

Lol

TimWieneke · 12-07-2004, 10:37 PM

"Nazi idemnification B.S. that so many builders and G.C.'s require."

Yeah honestly, I don't think we've ever requried that. Then again, we've got a good bunch of subs that we've worked with for a long time. The problem with Illinois is that we have too many lawyers who are paper G.C.'s who know nothing of construction but are marvels at creating paperwork. No offense Craig, 5 years in business bespeaks of someone who knows what he's doing. :Thumbs:

Tim

hatchet · 12-07-2004, 11:38 PM

Quote:

Originally Posted by Grumpy

I just send my sub a fax asking them to send me a certificate with my name and address as th eholder and additional insured. I don't require any of that other Nazi idemnification B.S. that so many builders and G.C.'s require.

Nazi indemnification? It's an insurance certificate. Standard certificate - we just preprint them with our info to make it easier.

Grumpy · 12-08-2004, 08:34 AM

I didn't say you had the nazi crap. I said some GC's do.

I was bidding a government job once and the GC's required a full page idemnification attachment from the insurance broker... The insurance broker explained to me that the type of idemnification they were asking for would allow them to file claim against us for any reason even if we caused no damage.

I HAD WON THE JOB, but I told the GC he get's my standard liscence showing I have insurance or I walk... I walked.

hatchet · 12-08-2004, 09:16 AM

My nazi crap won't be that bad - the company I work for has nazi crap in the contract instead of the insurance certificate

The really funny part, in talking with some of our lawyers, is we wouldn't even sign our own contract..
in most cases we go through a negotiation process on the contract - then if we use that subcontractor in the future we keep their standard general conditions and reuse them.

Craig · 12-08-2004, 04:52 PM

No offense taken Tim. Defense and indemnification clauses are becoming more common, particularly in municipal work. A lot of municipalities are self-insured these days. Accordingly, they try to insert defense and indemnification clauses in all their contracts to avoid litigation costs. Remember too that insurance is there as much for the cost of litigation as to cover the amount of any claim or recovery. Some of the clauses can be pretty draconian, I know because I used to draft them. That being said, it pretty much depends on how much you want the work.

Grumpy · 12-10-2004, 08:53 AM

You got my email about your sub agreement I assume, Rich? It's that indemnification clause that is a kicker IMO. There is a line in there that would have the sub idemnifying YOU for YORU MISTAKES. I dunno if I read that wrong or that was a typo.

TimWieneke · 12-10-2004, 10:59 AM

Excellent. Thank you for the info Craig. Very informative.

Tim