The facts
A general contractor was hired to build an addition to an existing health facility. An electrical subcontractor was also hired to complete the installation of the mechanical and electrical rough-in work required for the addition.
After the general contractor left the construction site for the evening—and even though the construction site was fenced, and the front gate locked—thieves managed to gain access to the site and stole a large quantity of copper wiring and piping—some of which had already been installed by the general contractor. The thieves specifically targeted the copper-based products as they are a highly sought-after commodity due to the high value they receive at recycling centres.
The result
The general contractor and the subcontractor faced a claim for this loss in the amount of more than $30,000. Fortunately, this loss was covered by their Victor Builders Risk policy.
Risk factors
Risk factor #1
Make sure an up-to-date inventory is kept for installed and soon-to-be installed materials, as well as items in transit or in temporary storage.
Risk factor #2
Install proper lighting at the construction site so that the site is always visible to the public. Thieves are less likely to break in, thereby reducing the risk of theft at the construction site.