Introduction – The High Stakes of Compliance
In construction, the smallest oversight in insurance compliance can lead to catastrophic consequences—uninsured losses, denied claims, or even complete project shutdowns. Whether you’re a general contractor or project owner, failing to carry the proper insurance or neglecting required documentation can result in legal exposure and higher premiums. According to CBIZ, insurers often evaluate your compliance practices before issuing or renewing a policy.
This Construction Insurance Compliance Checklist ensures your bases are covered before the first shovel hits the ground—and continues to protect you until project closeout.
✅ Construction Insurance Compliance Checklist
Use this checklist at the start of a project and during audits to confirm you’re protected:
- ✔️ General Liability Insurance in Place
Confirm you have an active Commercial General Liability (CGL) policy with appropriate coverage limits. Keep a current Certificate of Insurance (COI) readily available. - ✔️ Workers’ Compensation Coverage
Ensure all laborers, including subcontractors and temporary workers, are covered under a workers’ comp policy, as required by your state. - ✔️ Additional Insured Endorsements
If your contract requires it, provide documentation naming the property owner or client as an Additional Insured on your policy. - ✔️ Subcontractor Insurance Verification
Collect COIs from all subcontractors. Confirm their coverage meets or exceeds the limits outlined in your contract. Don’t assume—they must show proof.
(Source: getbcs.com) - ✔️ Builder’s Risk / Course of Construction Policy
If you’re handling materials, equipment, or structures on-site, a Builder’s Risk policy should be in place to protect against physical damage or loss. - ✔️ Automobile & Equipment Insurance
Confirm Commercial Auto and Equipment Insurance are active if vehicles, trailers, or heavy machinery will be used on-site. - ✔️ Surety Bonds (if applicable)
For public jobs or high-value private contracts, ensure Performance and Payment Bonds are issued, documented, and stored with project records. - ✔️ Safety Program Documentation
Maintain up-to-date logs of OSHA training, toolbox talks, PPE policies, and incident reports. Insurers may request these when evaluating risk.
(Source: cbiz.com) - ✔️ Contractual Risk Transfer Provisions
Review contracts to ensure indemnity clauses, hold harmless agreements, and insurance requirements are clearly stated and signed by all parties. - ✔️ Policy Updates & Renewal Notices
Document all changes—new jobsite addresses, new hires, or major equipment additions—and notify your broker or carrier. Track policy renewals and store proof.
📄 How to Use This Checklist
Print and use this checklist during:
- Project kickoff meetings
- Monthly compliance reviews
- Jobsite safety audits
- Closeout processes
Assign a compliance officer or project manager to review it regularly and update documentation as needed. A little diligence goes a long way in reducing liability.
🛡️ Conclusion – Peace of Mind Starts With Preparation
Construction insurance compliance isn’t just a box-checking exercise—it’s protection against financial ruin. By using this checklist, you’re proactively reducing risk, ensuring project continuity, and building a professional reputation that insurers, clients, and partners trust.
Stay covered. Stay compliant.