Part 1 of a 4 Part Series on Construction Weather Risk Management
By Gina Lozier and Jeffrey Wertman
This article was first published on Law360, A LexisNexis Company, and is republished here with permission of the authors.
If an unpredictable weather event, such as a hurricane, strikes during new construction, remodeling or renovation of real property, significant property damage, delays in construction and other expenses such as loss of income and other indirect construction costs will invariably be incurred. Consider a hurricane causing a contractor to miss the substantial completion date of a project and the owner loses tenant income or a storm causes a building envelope failure in an apartment complex forcing tenants to relocate.
These losses, which could be massive depending on the extent of the construction can put a project, and its funding, in substantial jeopardy. An owner undergoing such a project may believe that the standard property insurance policy in place will provide indemnification for the loss and mistakenly assume that all related expenses are afforded coverage. Unfortunately, the failure to secure proper insurance coverage for property under construction can have a catastrophic impact long after a hurricane has passed.
Gina Clausen Lozier and Jeffrey S. Wertman are partners at Berger Singerman LLP.
This article is for general informational purposes and is not intended to be and should not be taken as legal advice.
More in the next blog post about weather decision support, weather safety and weather risk management…
Headquartered in Cambridge, MA, WeatherBuild® offers a suite of decision support solutions that empower contractors, owners and operators to improve situational awareness and make better-informed decisions about weather events, schedule impacts, safety risks and probable outcomes.
Increase productivity. Enhance safety. Manage risk.™
Download WeatherBuild Mobile on the App Store and rate us 5 stars!
“WeatherBuild®”, “Weather Controls®”, and “Decision Support Solutions for the Construction Industry and Built Environment®” are registered trademarks of Weather Build, Inc.The WeatherBuild “W” logo and app icon, “WeatherBuild Solutions™”, WeatherBuild Basic™”, “WeatherBuild Pro™”, “WeatherBuild API™”, and “Increase productivity. Enhance safety. Manage risk.™” are trademarks of Weather Build, Inc.
***