The events of 2017 look set to rank alongside other market-defining catastrophes. The vast majority of these losses are the result of a hyperactive 2017 hurricane season. While the events were devastating to the residents and businesses, particularly in the United States and Caribbean, the insurance implications may be more widespread. The outcome of the reinsurance treaty renewals in January 2018 is being eagerly awaited in multiple regions.
Other tragedies, such as the Grenfell Tower loss in London, have also shifted the market. Professional indemnity insurers in particular are looking to restrict cover and/or withdraw capacity for construction companies with a certain risk profile.
As the insurance market begins to show signs of tightening it is important for companies to understand what drives insurers' pricing models. Given the impact claims can have on programme pricing, in this edition we have included an article which considers the importance of taking a proactive approach to claims management.
Claims service and payment is the ultimate deliverable of an insurance programme. While large and complex claims are (thankfully) rare for most clients a mismanaged process can have a disastrous impact on a business. The article concludes with advice on how to avoid the most common claims pitfalls.
Finally, as global weather patterns become increasingly unpredictable we look at Weather Insurance and how it can be used by construction companies as an alternate to accepting weather risks and managing the exposure through contract pricing and programme contingency.
View our interactive magazine, for more information - Constructive Insight
For further information please contact Stephen Boddington, Managing Director of Construction, Asia at Stephen_Boddington@jltasia.com.