Any construction project provides a host of risks that are unique to the construction process and industry. Top of the list is OH&S with extensive controls in place in the Australian construction industry to improve the injury statistics of the entire industry.
Some of the other less prominent risks are quite often ignored, or at least are not very well understood. Many of these are also relevant to the insurance industry and include issues such as fire protection through the construction phase, security and protection against natural perils. Similarly the concept of advanced loss of profits, which refers to the possibility that a delay incurred during the project will impact on the operators planned profit levels at the end of the project.
RiskTech can assist clients and construction contractors alike to identify these risks and implement controls to monitor and manage these risks. This process can involve all stakeholders (principal, contractors, sub-contractors) to ensure all views are considered. Where necessary, reports can also be produced to keep insurers informed. New construction provides the opportunity to implement measures that will control and often eliminate a range of potential risks.
RiskTech can also assist in the design process to ensure risk related issues are considered. This will ensure the end product does not present any undue risks and also that it presents well to the insurance industry. Examples include fire protection design, balustrade design, security etc..
Some of the benefits of this process will be:
- An improved understanding of the risks;
- A process to ensure all risks are identified, controlled and monitored while involving all stakeholders;
- Prevention of construction delays, which may have economic consequences; and
- Greater comfort from insurers, which will assist with the insurability and premium levels.