You are the principal
Do you have the expertise to determine whether or not your CAR-insurance meets your requirements? What happens to the compensation for damages if your contractor goes bankrupt? Will the insurance company even pay you the claim? And what happens if contiguities are damaged
While writing down the minimum requirements for a CAR-insurance is important, it is just as important to check the coverage of the concluded CAR-insurance contract. We offer this as a service whether or not you’ve taken care of the insurance yourself or you’ve left it up to the contractor. We’ll check, in advance if you, or your contractor, have met all the construction specification requirements regarding the CAR-insurance.
This service is specifically intended for architects, housing associations, real estate owners, institutional investors and the like.
We, OBM, still regularly see specifications with a standard text that fails to provide clarity. Which risks should be the contractor’s responsibility and which risks would you like to have covered as a minimum with your CAR-insurance? You can ask OBM to help you draw up the specifications that you can use for your project. Afterwards you’ll be able to rest assured, knowing your risks are insured to the fullest extent possible.
You’re a contractor
It doesn’t matter if you’re working as a contractor or a subcontractor, as long as you know what the risks are and how these are covered. You need to determine your own position within the chain. Many terms of delivery contain a conditional arrangement for the insurance contracts. This means that you’ll be able to use the concluded insurance contracts conditionally. Such a condition might be that the principal will have to authorize your use of their insurance policy.
Another variant that occurs regularly is the secondary coverage. This means that you’ll have to make use of your own insurance policy before you’re allowed to make use of the concluded insurance contracts.
Non-insurance of section II (liability), also happens frequently. This means that if you’re held liable for damage from, for example pile driving, you won’t be able to settle a claim through the CAR-insurance.
You’ll need to be independent of others and create a package of insurance policies that cover your risks optimally. After all, a principal won’t have the same interest as you when it comes to portacabins or other auxiliary equipment. They have a greater stake in insuring the work or ancillary contractors. A principal will prioritize having a primary insurance for the existing property of the principal over insuring the property of your personnel at the construction site. At OBM, we view advising you about your interests as our core task. You want certainty in advance!