The building crisis in Australia’s regional construction industry
Published 20 May 2022
With the collision of macro-economic conditions and the ongoing impact of COVID19 on supply chains, blowouts in time and costs are a having a significant impact on the construction industry in regional Australia.
In the H1 2022 edition of the Business Insurance and Risk Market update report we provide insights on how a perfect storm of circumstances is leading to:
price increases on materials
backlogs on completing work
increases in cost of labour
scarcity of skilled trades.
All of these factors have serious implications for property owners and the scope and terms of their insurance cover.
In the report we explore how sums insured and indemnity periods should be adjusted to reflect the new reality and business interruption insurance is essential, and how local advice and representation can positively affect claims outcomes.
Other topics include:
Placement – why making a case for cover to local insurers is important.
Claims – the impacts of weather events on supply chain delays and claims inflation.
Directors and officers’ liability – new capacity brings lower premiums but also risks for the unwary.
Disability sector – the factors making insurance for this sector hard to find.
Environmental, social responsibility and governance (ESG) – with an increased focus on ethical business practice insurers are scrutinising accountability.
Cyber security – how businesses need to meet the escalation of the risk environment.
Download the report to learn more
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During this time of change you can turn to our Gallagher experts for advice and guidance. We are here for you and will do everything we can to help you face the future with confidence.
Gallagher provides insurance, risk management and benefits consulting services for clients in response to both known and unknown risk exposures. When providing analysis and recommendations regarding potential insurance coverage, potential claims and/or operational strategy in response to national emergencies (including health crises), we do so from an insurance and/or risk management perspective.