Its a Wrap!

As the housing slump recedes, developers are looking forward to tackling projects with a sharp eye on margins. One proven way to manage risk and reduce insurance costs involves obtaining “wrap up” insurance, which derives its name from wrapping, or bundling, specified insurance risks into a single package.

This type of insurance dates back to the 1940s and has been more recently favored over the traditional approach of relying upon contractor insurance. Wrap up insurance protection, which includes all parties in a project (such as the owner, general contractor, and sub-contractors), typically provides insurance protection for workers’ compensation and general liability/umbrella liability. Pooling all parties’ risks into a single insurance program leads to a reduction in the program’s fixed costs. 

Note: Wrap up insurance coverage is limited to operations at the project site.