The NYC Department of Buildins has issued new insurance regulations for New York contractors beginning June 13, 2011. The new regulation chagnes general liability insurance requirements for new or renewal building permits issued for any construction or demolition work performed in New York City.
The new regulation will dictate not only the limits of liability you must carry, but it also prohibits several exclusions to your policy. A contractor liability insurance policy can no longer contain the following exclusions:
- Completed Operations
- XCU hazards (explosion, collapse & underwgroung hazards)
- Contractual Liability
- Third party over actions
- Residential Construction
- EIFS (exterior insulation and finish systems)
In addition, liability policies must contain a 30-day cancellation clause.
Insurance requirements will differ based on the job type the building permit is issued for, with jobs in need of a tower crane having the harshest requirement with an $80 million limit of liability regardless of the scope of work.
Other factors the NYC Department of Buildings will take into consideration when determining NY Contractos insurance requirements are:
- If project is a multi family hoe
- Excavation of 12 feet or less
- Height of consruction is less than 35 feet
- Height of adjacent buildings
Let your local independent insruance agent, Newbrook Insurance Agency, help you in meeting these new requirements. Complete the free business insurance quote today to review all of your insurance options. Our licensed staff understands your needs and we are here to help.
The NYC Department of Buildings has created a tool to help New York Contractors determine their insurance requirements before they apply for their permit to ensure the permit process runs smoothly. The tool will ask location and project specific questions. Click here to access the NYC Department of Buildings Insurance Requirement Tool.