Contractor Talk - Professional Construction and Remodeling Forum banner
1 - 1 of 1 Posts

688 Posts
A good insurance broker who is experienced in the construction sector can find you a policy that will cover operations such as EIFS, bridgework, historical buildings, lead and even asbestos.

All these higher risk operations come at a higher insurance premium. So, rather than have them automatically included in every policy and everyone being charged a really high premium, most insurers start out with the basic coverage at a bottom-end price which is often good enough for doing residential and straight-forward commercial work. Then the broker customizes the policy by adding on the specialized coverages that you might need. Why pay for bridge-work coverage if you never insulate bridges? If you need insurance for bridge-work, and your current broker says they can't do that; then you need to find another broker who can. It's the same as in construction; some contractors are more experienced than others, and some insurance brokers are more experienced than others.

Because of the problems with faulty EIFS installations (moisture and mould build-up behind the original wall and the EIFS layers); extra questions and proof of experience in EIFS installation is required in order to get insurance for that type of work. This has been set up to avoid unqualified contractors from doing EIFS jobs and then having their insurance carry the burden of their unqualified work. Rather than getting every contractor to complete an EIFS insurance application, most insurers exclude it but will then add it back in once proof of contractor qualification is met.

This is nothing new. Yes, new excluded operations get added to the list as time passes and problem claims become an issue. If this is the first time you have seen such a list of excluded operations, it is more likely that your insurance broker just neglected to point them out in prior years.

Your list didn't mentioned a Silica Dust exclusion. That's another common one.
1 - 1 of 1 Posts