An often overlooked aspect of the construction industry is the demolition of existing buildings and properties – people are vaguely aware that it happens and is necessary, but they have no idea the scale or the complexity that goes into demolitions. Demolition alone accounts for $7 billion within the greater construction market, with nearly 300,000 derelict single family homes being removed per year to accommodate new units.
What this means is that contractors and demolition firms are working daily to bring down old buildings slated for destruction, a job that comes with considerable danger. The process of demolition involves using anything from heavy machinery to specialized explosives to bring down large sections of buildings, all of which can easily cause severe bodily injury.
Unfortunately for these contractors, they are on the hook if these processes result in the injury or death of their workers or any bystanders outside or inside of the demolition zone. Extensive coverage is needed to protect themselves and their businesses if these necessary activities end up causing any personal damages.
Demo Insurance Coverage
There is really no end to the number of problems that can arise from demolition projects. Damages are not limited to those affecting personnel and third parties – mistakes that occur during a project might damage other buildings, or even your own equipment.
Buildings may be more damaged than inspectors originally believed, so a routine operation may cause far more widespread instability than originally planned. Finally, even the most well trained and experienced equipment operators also make mistakes, leading to damage or injury to persons, property, and equipment.
Demo insurance is therefore absolutely necessary for any contractor operating within the space. Insurance policies vary depending on the size of the company and what kind of demolition they participate in, but on the whole, it covers both general operations and can be tailored for specific jobs that require either new equipment or may involve more complicated and dangerous processes to bring the building down.
Wrecking buildings typically involves many different types of heavy equipment and vehicles such as dump trucks, bobcats, excavators, bulldozers, and loaders, all of which are very pricey and can be damaged during the demo process. Each of these pieces of equipment can be generally insured, but if they are involved in activities specific to demolition, they’ll need that extra bit of coverage offered by demo insurance.
Compliance And You
As with almost every other facet of the construction industry, there are a mountain of laws, standards and regulations that each company needs to comply with in order to avoid fines and possible criminal action by the state. Demolition, being a particularly dangerous subsector of the construction industry, comes with a fairly hefty regulatory burden that’s put in place to keep bystanders and workers as safe as possible.
It’s difficult for every contractor to conform to every regulation all the time, as they are extremely numerous and your workers may not pay them the same heed you do. That’s why it’s paramount to have a policy in place for every job and every piece of equipment you own.
That includes heavy vehicles such as dump trucks, which are responsible for transporting the debris from the job site to the dump. If material is improperly secured or if the truck itself is involved in an accident, you are once again on the hook – so make sure you take every eventuality into consideration.
If you’re looking for demo insurance by local providers in San Diego, S.W.A.N. Insurance has got you covered – literally. We offer comprehensive coverage for every piece of equipment you own and utilize in the field, so if something unexpected happens and your machinery gets damaged during a job, you’ll have nothing to worry about.
Call Us Today: 858-381-3108