Construction projects can be very complex projects that take several years to accomplish, but some can be short-term and simple tasks. In major projects, the job is sub-contracted to various contractors, although the complete project is given to large well-known construction company. For smaller projects, the construction company handles all the work.
Most companies will need proof of insurance before they start the project. This could be in the form of an insurance certificate. You can hire a service provider that specializes in insurance certificate tracking. They offer a comprehensive certificate of insurance tracking solutions, which is supported by qualified insurance professionals, VersiTrax explains. It can be a disaster if the insurance is not adequate or lapsed.
The importance of tracking
It is not enough that the project is insured; it is also important to monitor the prevailing coverage status. The policy might have expired, not renewed on time or there could be a change in limits. Tracking is, therefore, a very basic activity in the realm of risk management. It is challenging to individually check if each contractor is adequately insured.
Essential for major projects
Insurance tracking becomes very crucial for major construction projects. The general contractor who gets the overall construction contract hires a number of local contractors for various smaller tasks. These small contractors might hire a second tier of subcontractors for specialised work. If there is an accident or injury, handling the consequences can get tough. In such cases, the insurance tracking companies can really help by making sure that every individual working on the project is adequately covered by insurance. They will ensure that the insurance is valid and carries enough limits to cover all eventualities.
There is software available today that has made the tracking of insurance certificates more efficient and quick. The service providers use this type of latest software to track and monitor insurance coverage.