Investor Insurance Model: Ideal Protection in Times of Insolvency
The year 2025 brought a significant increase in insolvencies, with the construction industry being one of the most affected sectors in the Czech Republic. Many construction companies are unable to meet their obligations, which poses a risk not only for the companies themselves, but also for investors and other stakeholders. In this challenging economic situation, the investor insurance model becomes a logical choice.
So how do you insure an investment project?
Who bears the project risks, the general contractor, or the investor? Only when the first damage occurs will you discover that the general contractor's insurance was insufficient and will cover only a small portion of the costs. Imagine investor insurance as a lifeboat that is part of a large ferry. In case of an accident, your life depends on it; in this case, the success of your project. It is suitable for everyone involved in the construction or assembly of a work, including the investor.
You should view your investment project similarly.
Whether you are modernizing or building from scratch, dozens of factors come into play that can affect the outcome. If you have all risks under control, you will also have control over the successful completion of the project. Do not rely on the general contractor or subcontractors having quality insurance. Most often, they don't, and you'll only find out when an insured event occurs. At that point, it's too late. The only insurance you have full control over is the one you arrange yourself. You have complete control over risk coverage and in the event of an insured event, the insurance payout goes directly to you, and you don't have to claim the money from the general contractor.
As an investor, you gain an overview of the insurance parameters, additional insurance settings, and control over claims settlement. The paid out insurance payout so you can use immediately.
At Eurovalley, we have been part of dozens of successful projects, and we would be happy to cover your back too.
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Effective insurance starts with understanding risks. We help clients identify, assess, and manage risks so that their insurance strategy aligns with their real-world operations and long-term vision. Our insurance consulting connects detailed analysis with executive-level decision-making processes.
