Why choose Hensure for PI insurance
Our business is not a call centre, but instead provides a personal service and dedicated team to assist with your queries.
Our team has a wealth of experience and knowledge to help you and your business get the most appropriate cover for your needs.
Our full 24/7 quote and buy facility allows you to run a personalised quotation, at a time that suits you and your business.
Why does professional indemnity insurance for Building Project Managers make sense?
Your role as a building project manager is an obvious development in the evolution of the modern construction industry, but is still seen as an emergent professional discipline.
The normal functions of a building project manager will be to ‘mobilise, organise and co-ordinate the activities of a multi-discipline team to complete a project on time, to budget and to a good quality (avoiding project failure)’.
A Building Project Manager’s responsibility on a particular site will depend on:
- The terms of the appointment
- The terms of engagement of the other consultants on the project
- The principal building contract
- The demands of the particular project
There is no doubt that Construction projects in the UK remain a risky enterprise. Despite an era of collaborative working, major projects still fail to be delivered on time, to budget and to the required quality. In these circumstances, claims (where valid or not) could be made against you.
So, claims are on the rise against Construction Professionals and at the same time the Professional Indemnity Market is now in what is called a ‘Hard Market phase’.
A ‘Hard Market’ occurs in Insurance when prices rise and policy cover starts to be restricted. The last hard market occurred in 2001, following the September 11th terrorist attacks.
A ‘Soft Market’ occurs when the supply of underwriting capacity outweighs the demand from customers.
Everything changed post the Grenfell Tragedy with insurers exiting the Professional Indemnity market due to the losses that they were experiencing. As supply of underwriting capacity has diminished but the demand for cover was still there, then that has led to dramatic price increases.
The Construction Professional Indemnity Market has been hit the hardest by these increases, but it has had a knock on effect to other professionals who operate in this arena such as Architects/ Engineers/ Surveyors and Building Project Managers.
Despite all of this, we do feel that our expertise and access to the market should mean that we can still get a competitive quotation for you from the market.
For further information on PI Insurance options, please do not hesitate to contact us.
- Company Size – the overall size of the firm, based on gross annual income of the company and the number of partners/ directors/ employees.
- Qualifications and Experience – insurers will want to know how many relevant years’ experience that you have in the trade and may want to see relevant CVs.
- Type of Work – insurers will want to know the split of annual income derived from each discipline that the firm is involved in; some areas are considered high risk and some areas are considered low risk from a claims point of view.
- Claims Experience – this information reflects on the type of work carried out by a company. It also reflects the quality of the company’s work, experience, staff & internal risk management.
- Turnover Split by Territory – a large exposure to USA/Canada in particular can be perceived as a problem due to the claims culture in North America and the likely costs involved in defending negligence claims in those countries.
A typical Professional Indemnity policy for Building Project Managers will normally cover the following areas:
- Negligent act error or omission
- Unintentional intellectual property rights infringement (other than patents)
- Unintentional breach of confidentiality
- Unintentional defamation
- Fraud & dishonesty
- Loss of third party documents or data
- Computer virus transmission
- Negligence of sub-contractors
- Collateral warranties (limited to 2 assignments)
- Adjudications under the Housing Grants Construction & Regeneration Act
- Irrecoverable fees
- Bodily injury or property damage arising from breach of professional duty
- Defence costs
- Court attendance costs
- Breach of health & safety legislation
Your policy coverage may vary between insurer.
- Professional Indemnity provides cover for claims that arise as a result of the work you have completed or advice you have given.
- Public Liability provides cover should members of the public receive an injury or property damage due to your work. This protects your business should a compensation claim be made, also covering any legal costs that result from this.
- Employers’ Liability provides cover for compensation claims and associated legal costs, arising from employee injury or work-related illness.
- Contract Works insurance covers permanent and temporary works executed in performance of the contract and materials for use in connection therewith.
Directors and Officers
- Directors and Officers insurance policies protect you financially against any claims that are made against you personally in your position as a director, partner or officer of your business.
Legal expenses insurance
- If you were involved in a legal battle, knowing that any money you spend on legal bills would be reimbursed could make all the difference. Legal expenses insurance does just that. It ensures that your business remains financially stable after a legal case by helping to compensate the business for incurred costs.
Contact us to find out more about the right cover for your business.