Even a small construction project exposes project owners and contractors to significant financial risks in the event of defective work or an accident. Here are the essential coverages you need to know about before getting started.
Why the construction sector is particularly exposed
A construction site concentrates several simultaneous risks: personal accidents on the site, damage caused to neighboring properties, defects sometimes discovered several years after the end of the work. These risks concern both the owner and'work which orders the work and the craftsmen and companies which carry it out.
Ten-year civil liability, a key guarantee
Under the ten-year civil liability warranty, the builder is liable for ten years after the work is accepted for any damage that compromises the structural integrity of the building or renders it unfit for its intended purpose. This warranty protects the owner against structural defects that may appear long after construction is completed.
What a project owner should check before getting started
That the business or mandated craftsman has good professional liability insurance covering its construction activity.
That the ten-year guarantee is taken out for the work concerned, and not just general insurance that is insufficient for this type of risk.
The precise terms and conditions for bringing these guarantees into play in the event of poor workmanship noted after receipt of the work.
What a craftsman should check before accept a job
A craftsman who intervenes without appropriate professional liability insurance exposes his activity to a major financial risk in the event of a disaster on a construction site. Checking and keeping this coverage up to date protects both the craftsman himself and his customers, who could otherwise find themselves without recourse in the event of a problem.
Damage to third parties during construction
Beyond the structural soundness of the structure itself, a construction project can also cause damage to neighboring properties, such as cracks, nuisances, and damage caused by construction equipment. These situations generally fall under the professional liability insurance of the company performing the work, which is distinct from the ten-year warranty that specifically covers the structural soundness of the built structure.
Anticipate rather than discover a dispute after the fact
The best practice is to clarify this coverage before construction actually begins by requesting the relevant insurance certificates from the contractors involved, rather than discovering a lack of coverage when a dispute arises by which time it is often too late to take effective action.
What to remember
A construction site, whatever its size, requires clear coverage in terms of professional civil liability and a ten-year guarantee. Checking these elements before starting work protects the owner as well.'work that the craftsmen involved.
FAQ - Construction insurance in Benin
Does the ten-year guarantee apply to all types of work?
Who should take out the ten-year guarantee, the owner or the builder?
What to do if a defect appears several years after the end of the work?
Does an independent craftsman have the same obligations as a large construction company?
Are you starting a construction site in Benin? A Becotrac advisor can help you clarify the necessary coverage, on the management side.'work as a craftsman side.
