Construction General Liability Insurance

Choosing the Best Construction General Liability Insurance Plan

Choosing the best construction general liability insurance plan requires careful consideration of your needs. You should understand the differences between OCIP and OCGL policies and the Standard ISO form CGL. Read the article to learn about the types of coverage and their exclusions. Here are some tips on selecting a policy that best suits your needs. Listed below are a few of the most important elements to consider when buying your construction liability policy. The best coverage for your needs depends on your project size, industry and risk profile.


OCIP, or Owner Constructor Insurance Pool, provides a better option than individual policies for large construction projects. Its benefits include uniform liability limits and coverage, streamlined claims procedures, and a streamlined, one-stop shop for all insurance needs. In addition, OCIP allows project owners to rest assured that their subcontractors are covered for claims, making the process more efficient. However, the benefits are not without downsides.

Owner-builder construction insurance

While it is not essential to have construction management liability insurance for your projects, it is a good idea to have this type of coverage. Typically, this type of coverage will only be needed for large, complex construction projects. Owner-builder construction insurance can provide much-needed coverage if the project ends up in a lawsuit. In addition to protecting your financial interests, this insurance will also cover lost or stolen materials, or even death resulting from an accident.

Standard ISO form CGL

The Standard ISO form for construction general liability insurance (CGL) contains several legacy contracts. Paragraph f contains a blanket contractual clause whereby the policyholder assumes the tort liability of another. Tort liability is different than contractual liability; it refers to negligence. While CGL covers negligence, it does not cover economic damages. Nevertheless, it is worth considering CGL as an option when it comes to protecting your business and reputation.


When purchasing construction general liability insurance, it is important to know the different types of coverage and what each one excludes. In general, “your work” means work that you do for someone else, but there are many ways that this can be interpreted. The following are some examples. A general contractor may be required to have this type of coverage, but he or she may also purchase a separate pollution policy. A general contractor is often contractually bound to supervise subtrades on a construction site.

Cost of construction general liability insurance

A typical cost of construction general liability insurance is around $800 per year, but that figure may vary depending on the size of your business. Many small businesses are able to get by with less expensive coverage limits, but larger businesses may be able to afford more expensive policies. The cost of insurance also depends on your policy limits, or how much the insurer will pay for a covered claim. There are two basic types of policy limits: per-occurrence and aggregate. Higher policy limits will protect you against financial losses from covered claims.

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