Transportation Agency Use of Owner-Controlled Insurance Programs
Publication: Journal of Construction Engineering and Management
Volume 130, Issue 4
Abstract
Controlled insurance programs are highly efficient risk control mechanisms. With a controlled insurance program, the interest of the owner, designer, construction manager, contractors, and consultants are covered by one insurance arrangement. This paper describes the current state of practice regarding the use of owner-controlled insurance programs by transportation agencies. Departments of transportation that have used controlled insurance programs for their major projects (construction costs greater than $100 million) report that they were satisfied with the results. But contractors are cautious because, when an owner’s controlled insurance program administrator fails to perform, it is the contractor who incurs the residual consequences of increased business cost, and those consequences can extend far into the future.
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References
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Information & Authors
Information
Published In
Journal of Construction Engineering and Management
Volume 130 • Issue 4 • August 2004
Pages: 517 - 524
Copyright
Copyright © 2004 American Society of Civil Engineers.
History
Received: Jul 15, 2002
Accepted: May 20, 2003
Published online: Jul 15, 2004
Published in print: Aug 2004
Authors
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