Design and Construct www.cnaeurope.com Your specialist commercial insurance partner across Europe
What is Contractors insurance? Professional Indemnity Insurance is an essential safeguard for every business involved construction business. The policy covers claims for negligent errors, acts or omissions or breach of duty of care in the provision of professional services including contingent design liability. Policy Benefits Through our Professional Indemnity policy we provide a comprehensive and completive priced product, which is vital in an industry that often trades on tight margins. Who are our insureds? General Building Contractors House Builders Property Developers Cladding and Glazing firms Specialist Contracts Interior Refurbishers If your clients are contractors then we can help you keep their liability for design and specification services covered cnaeurope.com 2
Summary of Policy Cover Cover available as below: Any One Claim or Aggregate limits of indemnity Up to 5m limits of indemnity Primary or excess layer basis CNA can meet clients to discuss offer D&C wording: Negligent acts, errors, omissions or breach of duty of care, in respect of professional services Libel, slander and/or defamation Unintentional breach of confidentiality Unintentional infringement of intellectual property rights Costs and expenses in order to mitigate financial loss or potential financial loss Loss and/or damage to a Document up to 500k Financial loss arising from the dishonest or fraudulent act of an Employee up to 500k Data protection and Construction (Design & Management) Regulations 2007 up to 500k Breach of statutory regulation relating to building or construction work Premier D&C wording: All of the above plus: Duty to warn Collateral Warranties & Duty of Care Agreements unlimited assignments Pollution Cover ( 1m Aggregate or as stated in the Schedule) Asbestos Cover ( 1m Aggregate or as stated in the Schedule) Fungi, Microbes or Timber Disease ( 1m Aggregate or as stated in the Schedule) No conditions precedent Unintentional non-disclosure We can also offer implied and/or express fitness for purpose cover upon request. Why Buy? To protect against claims arising from negligent design/specification To protect against claims arising out of any duty to warn obligation To protect against claims arising from collateral warranties How to apply The information needed to obtain a quotation is contained in our Proposal form, a copy of which is available on our website www.cnaeurope.com. 3
Why do you need Contractors Insurance? If you provide in-house design, with or without construction responsibility As a contractor responsible for design you could be held legally liable for errors or omissions in that design. If you subcontract design services to other parties You may also be held vicariously labile for the design of other professionals you hire as sub contractors. If you participate in joint-venture projects with an architect or engineer When entering into a joint venture with a design firm, you may be held liable for negligence of their architects and engineers. If you provide value engineering services When you make value engineering suggestions, you are offering your professional opinion and may be held legally liable for that advice. If you are ever responsible for revisions to architectural or engineering designs If you revise plans without having them approved and re-stamped by the architect or engineer, you may become liable for the design. If the sub-contractor carries PI In these uncertain financial times we are seeing a number of businesses going into administration and not keeping their PI policies in force. This may leave you as the main contractor responsible for the claim. If you provide agency or at-risk construction management services When acting as a construction manager who facilitates projects or advises project owners, you may be held liable for that advice. cnaeurope.com 4
The CNA advantage value added services & companion products When you choose CNA, rated A (Strong)* by Standard & Poor s, you get more than solid protection from a respectable and established Insurer. You also get: Suite of bespoke wordings Fast decisions from experienced underwriters Global experience in underwriting Construction business Flexible underwriting First class claim handling Financial security Free legal helpline in conjunction with Mills and Reeve Collateral Warranty checking service for Construction related risks in conjunction with Mills and Reeve (information available on request) Regular bulletins with industry-relevant updates and important information A presence in Lloyd s as a Company Market Competitive premiums CNA Europe has a wealth of experience in underwriting Design and Construct (D&C) risks from small building firms to large developers and specialist contractors. We understand your business needs enabling us to offer you full protection. Our dedicated team of in-house claim handlers have extensive experience in dealing with D&C claims ensuring that should the worst occur, we are there to process claims quickly and efficiently, protecting your relationships and reputation with clients. *Ratings correct as of 23rd September 2013 5
Mills and Reeves Mills & Reeve LLP is one of the UK s leading full-service law firms. It has a national presence with offices in Birmingham, Cambridge, Leeds, London, Manchester and Norwich and has built an 800-strong practice on the basis of commitment to their clients, expertise and outstanding teamwork. Mills & Reeve ranks very highly both within the profession and in the minds of their clients and they pride themselves on providing a service that is efficient, pragmatic and jargon free. CNA is working in partnership with Mills & Reeve to provide its customers with easy access to a team of skilled lawyers that give advice across several areas such as employment, commercial disputes, debt recovery and drafting of commercial contracts. 6 Free Legal Helpline As an insured of CNA, the Mills & Reeve free phone helpline gives you access to expertise as the first step in managing your commercial legal issues. This can be used for preliminary legal advice, evaluation of the merits of a potential claim, or commercial services including drafting and enforcement advice. You will have access to telephone advice across a range of practice areas including: Employment With one of the largest employment practices in the country, Mills & Reeve provides initial advice regarding: Redundancy and dismissals Employment disputes and enforceability of restrictive covenants Contractual arrangements and drafting queries. Commercial disputes and debt recovery Mills & Reeve s commercial disputes team can provide expert advice on disputes and issues relating to commercial contracts, intellectual property infringement, product liability, procurement, insolvency, shareholder, partnership and business disputes. Within these practice areas, you may require guidance relating to: Debt recovery Jurisdictional issues Availability of funding options including Damages Based Agreements Conditional Fee Agreements and After the Event Insurance policies Alternative Dispute Resolution procedures including mediation and arbitration. Drafting commercial contracts Mills & Reeve can offer advice on drafting commercial contracts including issues of: Redundancy and dismissals Enforceability Jurisdiction and choice of law Arbitration clauses General commercial advice EU and competition issues. Warranty Service CNA has agreed with Mills & Reeve to provide the following service: A review of the proposed Letter/Terms of Appointment, CW, DCA, Deeds of Novation and other associated documentation One hour complementary telephone advice service relating to the above documentation Advice in easy to understand traffic light format informing you how the above documents may impact on your current Professional Indemnity policy with CNA (extract of example advice overleaf) The advice will be turned around in 5 days unless a different response time is agreed in advance Further Services Mills and Reeve is a full legal services provider to many sectors including the construction industry. They will offer CNA clients, rates at a discount from the standard rate available. Free Legal Helpline 0207 648 9224
To find out more, please call us on: +44 (0)20 7743 6800 or contact your local CNA office. Alternatively, please visit cnaeurope.com 2 Minster Court Mincing Lane London EC3R 7BB United Kingdom Tel +44 (0)20 7743 6800 Fax +44 (0)20 7743 6801 www.cnaeurope.com The information contained in this document does not represent a complete analysis of the topics presented and is provided for information purposes only. It is not intended as legal advice and no responsibility can be accepted by CNA Insurance Company Limited for any reliance placed upon it. Legal advice should always be obtained before applying any information to the particular circumstances. Please remember that only the relevant insurance policy can provide the actual terms, coverages, amounts, conditions and exclusions for an insured. All products may not be available in all countries. CNA Insurance Company Limited Registered in England number 950 Registered Office: 2 Minster Court Mincing Lane London EC3R 7BB VAT registration number 667557779 A member of the Association of British Insurers A Member of the CNA Financial Group Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority (number 202777) CNA Europe is a trade mark of CNA Financial Corporation CNA is a registered trade mark of the CNA Financial Corporation 22483/0414