March 2016

8 Key Considerations for a Builder’s Risk Policy ​​​​​​​​​​​​​​​

8 Key Considerations for a Builder's Risk Policy ​​​​​​​​​​​​​​​As owner of the new manufacturing facility building project, Thyme Manufacturing Co, Inc. has recently hired the project’s general contractor – Perkins Construction, Inc. In addition to developing the minimum insurance requirements to be used with Perkins Construction and its subcontractors, as Thyme’s newly appointed director of risk management, Jennifer is also responsible for arranging the insurance for the building during the course of its construction. This “course of construction” insurance is commonly known as builder’s risk insurance.

Thyme’s legal counsel has used the American Institute of Architects (AIA) construction contract documents with Perkins Construction – including the 2007 A201™ General Conditions of Construction.1 Of particular interest to Jennifer is Article 11.3 entitled “Property Insurance” – as this section will serve as Jennifer’s starting point to determine Thyme’sminimum builder’s risk insurance requirements.

Who Purchases Builder’s Risk?
Because of its market clout Perkins may be able to obtain the builder’s risk insurance for the benefit of Thyme at either a lower cost or with better coverage terms – charging any premium for the insurance back to Thyme. While the option of having the general contractor purchase the builder’s risk is permitted under the AIA A201™- 2007, Thyme opts to purchase the builder’s risk coverage itself. Thyme’s owner Justin concludes that Thyme should control the builder’s risk insurance because the new facility represents such a large investment by Thyme – Justin directs Jennifer to purchase builder’s risk insurance directly.

Read More »8 Key Considerations for a Builder’s Risk Policy ​​​​​​​​​​​​​​​

Creating a Safety and Wellness Culture in Your Company

Creating-a-Safety-and-Wellness-Culture-in-Your-CompanyBeyond attracting and hiring qualified job candidates and onboarding and training staff into an organization, there are many steps that employers can take to promote both safety and the continued wellness and productivity of their workforce. A process to support and engage your workforce that focuses on safety and wellness can help employees adopt a healthier lifestyle, both at home and at the workplace.

Employers have long recognized the importance of programs to retain talented and experienced employees. Increasingly, employers are also adding workplace wellness programs as a tool to help promote their employees’ overall wellness.1

According to the 2015 Travelers Business Risk Index, 60% of U.S. businesses worry about medical cost inflation. Given that the average worker can spend up to half of their waking hours on the job, employers are recognizing the role they can play in promoting the health and wellness of their employees, including helping them prevent or manage some chronic health conditions.Read More »Creating a Safety and Wellness Culture in Your Company

How to Onboard and Train Employees into a Safety Culture

How to Onboard and Train Employees into a Safety CultureOnce you attract and hire qualified job candidates to your open positions, having an onboarding and training process can help employees work safely and effectively. A continuous onboarding program will help orient employees not only to the functional details of employment, such as appropriate safety procedures, but also to the safety culture of the organization.

Employee retention strategies, such as onboarding and training programs, can also help protect the considerable time and expense invested in recruiting and hiring new employees. According to the Institute for Research on Labor and Employment (IRLE) at the University of California at Berkeley, the costs of replacing an employee are approximately 9% of an employee’s annual wage. In addition to any lost productivity and institutional knowledge, those costs include recruitment, selection, the costs of learning on the job and any separation costs.Read More »How to Onboard and Train Employees into a Safety Culture