Description

Builders face several industry-specific risks when they are working on a project. It’s no question that insurance is a must to protect them from these risks, whether they are working on a commercial or residential project. If not appropriately managed, these risks can increase the cost of labor and materials or risk violating local regulations. The sooner that you can mitigate these risks, the less impact it has on the overall profitability of your business.

An insurance broker is the best solution when matching the right insurance product to your needs and assessing risks. If you need to renew your insurance policy in 2022, a broker can be of help.

What Risks Do Builders Face?

Specific risks will be present in any builder’s project, no matter the size or type of project. The level of risks faced by builders is unique to this industry and a select few industries. Unlike other sectors with predictable risks, those present in the construction industry could easily lead to significant financial losses.

Learn more about the most common risks faced by builders and other professionals in the construction industry.

• Restrictions with the local zoning laws and standards
• Public objections to the project
• Environmental risks
• Poor project management
• Expensive material and supply costs
• Inexperienced staff
• High staff turnover or labor shortage
• Limited availability of supply
• Safety hazards and workplace injuries
• Unknown site conditions
• Project delays
• Compliance issues
• Lack of technological infrastructure
• Lack of or problems with securing permits
• Natural disasters

Why Do You Need an Insurance Broker?

Identifying the risks that builders face when undertaking a job is only the first step. The next logical step is to build a systematic risk analysis and a framework to manage those risks.

Hiring an insurance broker is one of the ways that you could manage risks. As a builder, your expertise lies in the line of work that you do. Some builders might have an inclination on what insurance can do for your business, while others don’t. It’s good to have an insurance broker on your side as they have expertise regarding the various types of insurance coverage.

You might be asking, “what do you need an insurance broker for?” The short answer is this: they can save you time and get you better coverage.

It might seem straightforward; however, shopping around and comparing various insurance quotes is not an easy job. In most cases, you can find an insurance policy within your budget. But when the time comes to make a claim, you’ll soon realize that it wasn’t at the coverage level that you needed.

Indeed, comparing policies is more than just about comparing prices. With the experience and expertise of an insurance broker, you will be able to find a policy that would safeguard what you’ve worked hard for – your business. Based on the list above, risks among builders come in all shapes and forms. Your insurance coverage must cover all, not just a few, of those risks.

Whether you are dealing with the economic crisis brought on by the pandemic or the impacts of a natural disaster (such as the flooding that hit some parts of NSW in early 2022/), it is crucial to speak to an insurance broker now. If you haven’t had your policy reviewed in the past two years, now is the perfect opportunity to do that. Your needs as a builder (or business) change rapidly based on the circumstances that directly impact your industry; get the right amount of protection for the much-needed peace of mind.

If you are a builder looking for an insurance broker, visit this website to learn more/ about Midland Insurance and what services they provide.

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