The first stand-alone Contractual Liability policy has hit the market thanks to the efforts of an Australian underwriter.
The MECON Winsure Insurance Group launched the new policy wording earlier this month, covering injury or damage that an insured is responsible for under a contract. It is not limited to the construction industry or dependent on any other policy. MECON Winsure CEO Glenn Ross says brokers have told him the product is long overdue.
“Brokers have been waiting for a Contractual Liability policy wording that covers most industries and occupations and isn’t restricted to construction,” he says.
“The limit of liability is up to the client. There are actually no contractual requirements for the limit of liability required by this policy.
“Furthermore, cover can be extended to include contractors and subcontractors of the insured and the policy automatically allows for hold-harmless agreements.”
Insured by Great Lakes Australia, the MECON policy can apply to either to contracts for specific single projects or for contracts encountered in annual business.