Proper insurance for an investment project
How to properly insure your investment project and prevent disputes with suppliers? Does the general contractor or the investor bear the project risks? You'll only discover that the general contractor's insurance was insufficient and covers only a small portion of the costs when the first damage occurs.
The investor bears the consequences
Imagine investor insurance as a lifeboat that is part of a large ferry. In the event of an accident, your life depends on it – and in this case, the success of your project. It is suitable for everyone involved in the construction or assembly of the work, including the investor.
You should view your investment project in the same way. 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.
Don't 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. By then, it's too late.
From my own experience, I know of several cases where protracted disputes with a subcontractor and insufficient coverage completely crippled or entirely terminated a previously successful project.
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 incident, the insurance payout goes directly to you, and you don't have to claim the money from the general contractor.
Don't waste time, which only makes your construction or modernization more expensive. A good broker can assess which insurance is essential for you and set its scope so that an insured event doesn't become your nightmare.
Take a comprehensive view of risks
As an investor, you gain an overview of the insurance parameters, additional insurance, and control over claims settlement. The paid out insurance payout can then be used immediately.
Don't deal with risks separately; bundle them. Why? The advantages are the same as having a general contractor through whom you order all materials. You have one point of contact, you don't have to approach dozens of companies and you get a volume discount.
Within one package, you can thus have construction and assembly insurance, liability insurance, solutions for designer errors, etc.
The broker's role is to guide you through this process so you can focus on successfully completing your project, having a reliable partner by your side who will lend a helping hand in case of difficulties and monitor all risks that might arise during construction.
At Eurovalley, we've been part of dozens of successful projects, and we'd be happy to have your back too. Rely on our experience and dedicate your time to what you understand and what brings you profit. Write to us or call and leave the insurance worries to us.
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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.
