What You Should Know About the Timing of a Wrap-Up Policy
As the economy begins to pick up, many contracts are being asked to bid on jobs that are covered under wrap-up insurance policies. The goal is for policy to provide coverage between all parties on-site and that can result in cost savings for the party funding the program. Historically, wrap-ups were used on projects that were in excess of $100 million, but in recent years, they are being used on smaller projects or to cover a series of projects under a rolling wrap-up.
If you have some contractors starting work a year from now, you may be wondering when you should enroll them in the wrap-up. If you have great control and oversight of the project site by knowing which contractors are entering the job site each day, it’s recommended that you wait to enroll closer to the estimated start date. A year from now, the contractor could go out of business or their contract could be removed.
What’s more many insurance carriers have timeframe restrictions where you cannot enroll a company until 60 to 90 days before their estimated start date.
Do you have more questions about wrap-up insurance? We can help. Contact a team representative at Nahai Insurance Services to discuss the most reliable insurance solutions for you and your project.