Whether a construction project is complex or a simple installation, project management is vital. Any construction project involves multiple professionals and tradesmen.

project management

In normal situations, one specific entity will have total responsibility for the project.

It’s important to:

• Identify that entity.

• Understand how the entity will orchestrate building tasks by:  Controlling all of the exposures & Preventing loss.

Most, if not all, of these relationships will be defined in numerous contracts that will closely define the work environment and the responsibilities of each entity.

Excellent project management starts long before the project begins. You must take into account all of the players, vet them for skill and expertise, and commit to maintaining a safe environment from day one until project completion.

Creating a safe environment requires two mandatories:

• All entities must be qualified with the necessary skills to complete their contracted tasks.

• All must abide by the same commitment to loss prevention.

All projects have contracts. A good contract has the following attributes:

• Specifically states who’s responsible for what.

• Protects the contract creator from any and all responsibilities through contractual risk transfer.

• Almost always provides waivers of subrogation.


Excellent project management includes the following:

• A specific plan that involves all entities that’ll be part of the build.

• Vetting the skills of all those who’ll be part of the project.

• Flexibility as the construction environment changes.

• Well-defined quality requirements.

• Communication to all entities on how project safety will be implemented and enforced.

• Property preservation measures, not just for the project but for properties adjacent to the construction site.

• A constant flow of information (inspections and project task reviews) that covers: Any exposure changes & Controls that must be practiced to prevent losses.

Your agent at Professional Underwriters can assist you with reviewing your firm’s risk management proceedures.