Welcome to the Fall edition of our RT ECP newsletter.
I hope everyone had a great Summer, got a little R&R and is now ready to finish out another long year! I hope you take into the Fall a lot of great memories from this past Summer. I know I do. One of my favorite memories was attending a Dan & Shay/Old Dominion concert in Philadelphia that was
headlined by Kenny Chesny. It’s funny but I think I’m the only person who actually attends a concert and has to skip out on the headliner. You see my wife is not a fan of Kenny Chesny but a huge fan of Dan & Shay and Old Dominion. I’m a fan of all three but come on, it’s Kenny – am I right? How do you go to a Kenny Chesny concert and skip out on him – not me!! We are seeing Kenny – no argument! To make a long story short, we ended up “compromising” (at least that’s what she said it was) and left the concert after Dan & Shay/Old Dominion finished but just before Kenny came on. It was a pretty cool show regardless!
So, the fourth quarter is coming up and like everyone else, we have a lot going on. As you’ll see in this issue of the Standard, we highlight our team that will attend the IRMI Construction Risk Conference in November. RT Specialty is once again sponsoring the conference. In addition, Joe Reynolds, Dave Slaugenhoup and I are honored to be hosting three different sessions during the conference. I will speak on “Insuring Environmental Risks on Large Infrastructure projects”. Joe will join a panel discussion on “Trading in Risk: Navigating Increased Professional Exposures in the Trades.” And Dave will present a “Snap Talk” on “PFASten Your Seatbelts for the Ever-Changing Regulations.” Read on in this newsletter for more details on these sessions and to see a complete list of RT ECP’s participants. We look forward to seeing everyone in Las Vegas.
Also in this issue, we highlight RT ECP’s benchmarking research on our book of business, presenting the average and highest limits purchased across various product lines during 2020 and 2021. I invite you to check it out and use the data provided in your sales process. If you need a more customized benchmarking study, give us a call and we may be able to help.
I hope you enjoy this quarter’s Standard. Please contact any of our team members for more information or with any questions you may have.
I would be remiss if I didn’t close by once again thanking our team, our clients and our carriers for all you have done to promote our successful relationship. I am honored and grateful to be working with such good people.
Take care and be safe!
Jeff
RT ECP Team to Attend IRMI CRC
RT Specialty is once again a proud sponsor of the IRMI Construction Risk Conference to be held in November 13th to 16th in Las Vegas. This year two of our ECP colleagues are speaking during the event.
Jeff Slivka will discuss "Insuring Environmental Risks on Large Infrastructure Projects" at his session on November 14th at 1:30 PM.
Joe Reynolds will be part of a panel discussion on "Trading in Risk: Navigating Increased Professional Exposures in the Trades" on November 16th at 8:30 AM.
David Slaugenhoup will present a "Snap Talk" titled "PFASten Your Seatbelts for the Ever-Changing Regulations" on Tuesday, November 15th at 8:50 AM.
We hope you'll join Jeff and Joe during these sessions.
Finally, listed below is contact information for each of our ECP team members attending IRMI. Please reach out to schedule a time to meet during the conference.
Risk Management Solutions for Site Development Environmental Exposures
Exposure to environmental risk is on the rise in nearly all industries and on all types of projects. Site development projects are no exception. In his article titled "Risk Management Solutions for Site Development Environmental Exposures," John Heft discusses the types of environmental exposures that site developers should be on the lookout for and how Contractor's Pollution Liability (CPL) and/or Pollution Legal Liability (PLL) insurance policies may provide a risk management solution to these exposures.
Read the full article here and contact your RT ECP consultant for more information.
RT ECP Presents Benchmarking for Highest/Average Limits Purchased Across Product Lines
RT ECP studied its book of business during 2020 and 2021 for various construction and environmental products to determine the average and highest limits of liability purchased. Each product is highlighted below with a link to the results of our research.
Contractor's Professional Liability (CPrL) - displays the average and highest limits purchased by specialty trades to general contractors by contractor size according to annual revenues.
Owner's Protective Professional Indemnity (OPPI) - displays the average and highest limits for owners with construction values up to $500 million. In addition, we show average and highest limits by type of project.
Real Estate Developer's Errors & Omissions (RED E&O) - displays the average and highest limits for owners and developers with construction values up to $500 million. In addition, we show average and highest limits by type of project.
Contractor's Pollution Liability (CPL) - displays the average and highest limits purchased by specialty to trade contractors by contractor size according to annual revenues.
Pollution Legal Liability (PLL) - displays the average and highest limits by industry type as well as by square footage for commercial real estate and by number of locations.
Risk Tip - Why Should General Contractors Consider a Professional Liability Insurance Policy?
By: Tim Prosser
My general contractor clients don’t hire design firms nor do they perform any design in-house. Why should they consider a professional liability insurance policy?
There are several answers to this question and each one will vary depending on the specific responsibilities and duties that are unique to each
contractor’s operations. While most General Contractors (GCs) participate in activities that generate professional exposure – such as value engineering or field changes to design and construction management – many GCs also face indirect (or vicarious) design exposure through a process called Delegated Design.
Delegated Design is a form of design collaboration where a contractor assumes responsibility for a portion of the engineering and/or design details required to complete their scope of work for a project. This collaboration is not limited to Design/Build agreements and can occur in scenarios where the prime design firm and General Contractor maintain separate contracts with the project owner. One example of Delegated Design is the design and engineering of post tensioned concrete systems, which may be delegated by the engineer of record to a concrete subcontractor under contract with the GC. Delegated design elements ultimately must follow design performance criteria set by the engineer of record; however, this transfer of design responsibility can still result in vicarious professional liability for General Contractors.
So – the next time you are reviewing coverages with your contractor clients – ask them about Delegated Design and how a contractor professional liability policy might address their vicarious liability exposures.
Congratulations!
Please join us in congratulating the following RT ECP team members on their recent and well deserved promotions. We are extremely proud of their hard work and dedication to the RT ECP team and its retail brokers.
Did you know that RT ECP has an exclusive, competitive solution designed to help protect all stakeholders from the catastrophic environmental risks related to hard infrastructure projects (roads / bridges / airports / rail / ports)? As we proceed into the fourth quarter and into 2023, infrastructure projects are gaining traction and you should expect to see more of these projects in the coming weeks and months.
Our Infrastructure Pollution Program (IPP), offered by an AM Best A Rated carrier, is provided to the Construction / Developer industry sectors in response to the historic $1T Infrastructure Bill, which passed Congress last year. In many cases, contracts relating to these hard infrastructure projects include specific pollution liability insurance requirements. With limits up to $25M each incident / $25M aggregate (higher limits available where required by contract) and policy terms up to 13 years including completed operations, our IPP may respond to these contractual requirements. Key coverages include full sudden and gradual pollution coverage (including clean-up), third party bodily injury, property damage (including natural resource damages), emergency response costs and defense expense. If you have insureds with projects in these industries, contact your RT ECP consultant to discuss how this product may respond.
The description of any programs described herein is only a summary of available coverages. Actual policy language will dictate the scope of coverage in the event of a claim. Agents should read the full policy form and any applicable endorsements for full terms and conditions and should encourage their policyholders to do the same.
