Construction and renovation projects carry complex risks for all involved—including owners, design firms, and contractors—that can increase dramatically when construction takes place near an active facility or complex. Risks include geological or pollution-related conditions, interference with ongoing operations, construction accidents, and design and construction errors that manifest during construction—or even long after project completion.

Too often, owners rely on other project participants to manage and fund risk, only to find themselves unprepared and inadequately protected should something go wrong.

Marsh helps owners identify and quantify the range of risks faced by all project participants and promotes a collaborative, team-based approach appropriate for their projects. Doing so enables owners to promote a risk management approach aimed at minimizing losses and reducing the impact of adverse events, while providing improved financial protection to protect your schedule and budget, the performance of the finished project, and your reputation.

Marsh provides access to a highly experienced, global network of risk consultants and brokers to help you identify and manage the full spectrum of construction risk. We focus on helping you reduce overall project risk rather than simply transferring the responsibility or consequences. Whether you seek to emphasize collaboration and risk sharing among all project participants or to define and enforce individual accountability, we offer solutions for both insurable and uninsurable risk.

From risk evaluation to loss prevention, loss mitigation, insurance, and other services, we provide customized solutions to meet the specific needs of your project and demonstrate that value to contractors and other stakeholders. Although this process is most effective when the contractor and design team participate, we can scale our services to fit any situation.

If one party fails on a construction project, the entire team can suffer. Marsh offers a detailed assessment of the risk to all project participants, which we call the Project Risk Management Process (PRMP). We start by examining the risks arising from project finance, the operating environment, project participants, and project scope, including industry-specific considerations such as efficacy or aesthetics. We then assess the consequences of these risks individually and in combination to help you prioritize and manage them.

Once risks have been identified, we work with all participants to implement loss prevention strategies that help reduce overall project risk at its source. We recommend solutions in such critical areas as communication among members of the design and construction teams; safety of workers, third parties, and property; rights and responsibilities upon project completion; and follow-up inspection and maintenance.

We help you formulate contract provisions that delineate which entity will assume on-site control of risk, standards, and protocols to be followed by all participants; duties in an emergency; and other key provisions.

Should a loss occur, immediate, decisive action can often mean the difference between a manageable setback and a catastrophic event. Marsh can help you put procedures in place to lessen the severity of an adverse event.

For example, we can help you formulate a comprehensive emergency response plan that provides for the protection of persons and property; orderly evacuation of job site and adjacent structures; notification of police, fire, medical and other emergency personnel; communication with the media; and establishing accounting codes to capture insured expenses. We can also help you with other mitigation strategies, including developing a return-to-work program for injured workers and compliance with any and all insurance policy conditions to secure coverage.

Insurers typically reserve their best terms and conditions for those projects and companies that actively manage risk. Building upon your risk management program, Marsh can help determine the insurance coverage you need and which project participant is in the best position to buy it. We help you secure coverage at competitive premiums by presenting a strong case to insurers.

We also help you review contractor-provided insurance to negotiate and coordinate limits, deductibles, and coverage among all project policies. We offer expertise in critical areas, including:

• environmental liability (including mold);

• professional liability and owners protective professional indemnity (OPPI);

• property coverage/builders risk insurance including delay in start-up (DSU) protection;

• wrap-up insurance programs (OCIPs/CCIPs); and

• surety/subcontractor default insurance (offered by general contractors as an alternative to subcontractor surety bonds).

In addition to the services described above, Marsh offers the following loss control and mitigation services either as part of a robust risk management program or individually:

• environmental and natural hazard risk assessment and quantification;

• behavior-based safety programs;

• forensic accounting and claims services;

• dispute resolution services;

• project governance; and

• claims consulting and advocacy.