It’s hard to find a profession in the world as complex and unique as construction and contracting jobs. The same can be said for the risks you face every day. While thinking about it can be overwhelming and cause you to lose sleep, there are numerous ways to counter and prepare. (Partnering with Arnold Insurance Agency for your insurance needs and help to evaluate your risks is a great start) Here is a list of 6 types of risks that every contractor needs to be aware of.

Occupational Risks:

• Injury (fatal and non-fatal) that could be attributed to:

  • Worker behavior

  • Improper methods utilized

  • Technology used

  • Weather-related incidents

Financial Risks:

• Increase in supply costs

• Unmanaged growth

• Lacking sales

• Interest rate increases

• Universal economic problems

Contractual Risks:

• Financial penalties from not completing a job on time.

• Risk to company’s reputation for breach of contract.

Project Risks:

• Inadequate project management practices

• Company policies that are below standard and lacking applications of such policies,

• Error in determining the amount of time needed or the resources required for a job.

Natural Risks:

Any natural occurring event that can slow down work at any rate such as:

• Rain🌧️

• Floods🌊

• Snow❄️

• Ice🧊

• Earthquakes

• Etc.

Competitive Risks:

• Losing a job to another company

• Straining your resources and profit margin to ensure a lower bid over another company

• Losing talented workers to someone else due to:

  • Income

  • Benefits

  • Quality of life

  • Better training and growth opportunities, etc.

Switching your insurance to a commercial insurance agency that specializes in contractors like The Arnold Insurance Agency is a good idea. Managing and preparing risk seems like a full-time job, but with proper help from us, OSHA, and others, you can develop a strategy that keeps your workers safe, jobs operating on a budget and on schedule, and ensures the growth and future of your organization.