The purpose of a wrap-up insurance policy is to ensure that all project participants are adequately covered.
The owner, contractors, and subcontractors are all covered by wrap-up insurance.
Wrap-up protection is significant in light of the fact that it keeps away from the requirement for each worker for hire and subcontractor to get their own responsibility protection.
There may be coverage gaps or inadequate limits if there are multiple policies.
Wrap-up insurance, on the other hand, is more effective at guaranteeing adequate coverage for all liability risks.
Take, for instance, an owner-controlled insurance program that the owner purchases on behalf of the contractor or builder.
Workers’ compensation, general liability, excess liability, pollution liability, professional liability, builder’s risk, and railroad protective liability are all included in the insurance, excluding add-ons.
While the expense of wrap-up protection can be costly, the expense can be split between the overall project workers and sub-project workers.
