The construction industry is once again experiencing a period of growth.
After a couple of slow years following the COVID-19 pandemic, expert forecasts are projecting more jobs, more revenue, and overall more opportunity in the next few years. And while traditional building construction has seen steady growth, one sector of construction that has ebbed and flowed is excavation and grading; this area of construction pertains to projects like roads, parks, and other non-building structures.
Excavation and grading was responsible for more than $80 billion in construction revenue in 2023 and is positioned to continue exploding in the next decade. Due to congressional legislation like the Inflation Reduction Act and the Bipartisan Infrastructure bill, more dollars are being poured into infrastructure which is creating more work – and more jobs.
As these sectors plan for a busy future, excavation and grading professionals need the right coverage to keep them protected and able to do their jobs.
The present and future of the construction industry is promising
Construction contractors in excavation and grading are primarily responsible for surveying and preparing land for construction. Often, these businesses come in all shapes sizes, which means insurance needs are wide-ranging as well; SitePro (which we will cover in-depth in a moment) is the most comprehensive insurance program available for excavation and grading contractors.
Contractor Magazine believes the coming year – and years ahead – bode well for the industry. There is no shortage of jobs, as more than 420,000 were created in 2023 but there were more job openings than expected.
Construction spending is expected to rise 6% year over year compared to 2023 despite some “volatility” in the skilled labor market.
Why your construction clients need wall-to-wall coverage for excavation and grading projects
This is highly skilled labor that performs an essential function in the construction process. Without quality coverage, contractors are not in the best position to perform their jobs and are exposed to the risks associated with the work.
What is the life cycle of a construction project, and what are the unique risks associated with the business?
Construction projects typically consist of the following phases: planning and design, pre-construction, procurement, construction and then post-construction.
Excavation and grading work is part of the first two phases (planning/design and then pre-construction). Excavation is the removal of dirt and materials in and around the construction site, while grading is the process of shaping land before actual construction can begin.
Contractors need comprehensive insurance, provided by SitePro, to be covered during these two critical parts of construction projects and the risks associated with them.
Underground utility work
When excavating work is given the green light, it tends to happen fast. Ground is moved quickly and work is done in a timely manner to get the project moving. Before any of that can happen, though, clearance must be given in order to avoid risk.
Contaminated soil excavation
When conducting work around areas that may be contaminated, extensive research is required. This could mean work near an old gas station, utility lines, or when you need to excavate old oil drums or other containers.
Rock excavation
This type of work is usually contracted and carried out separately, but blasting is one risk that workers may face while on the job. Heavy equipment can sometimes be necessary.
Use of heavy equipment
Many excavation and grading jobs require the use of heavy equipment to move rocks, structures, and soil in order to prepare a site for construction work.
Road work and high traffic areas
For excavation and grading workers, working on roadways and in areas with heavy traffic is one of the most dangerous environments they’ll face.
What coverage(s) do clients need for excavation and grading projects?
Due to the many risks contractors will encounter in excavation and grading projects, a full range of insurance coverage is necessary. This is why, as a broker, adding these types of clients to your portfolio is a prudent move.
With SitePro, you will be positioned to give them comprehensive insurance that is A+ rated by AM Best, and is trusted by countless construction contractors across the United States.
What coverages will your clients need? Let’s take a look.
General liability coverage
SitePro provides a lead line of coverage that businesses need, and serves as an overarching policy that covers several general business risks.
Auto liability and property damage
SitePro auto liability property coverage protects the business against damages to any property owned or leased by the business, and also covers any damage to vehicles on the work site.
Property coverage
With property coverage from SitePro, your clients get up to $3 million in total insured value if incidents happen on the job site causing damage.
Inland marine coverage
This insurance option covers products, materials and equipment while they are transported on land, such as by truck or train. Excavation and grading projects often require this work, and SitePro offers insured limits up to $3 million.
Umbrella liability coverage
Business umbrella insurance helps pay liability claims that exceed the limits of an existing insurance policy, and in the construction industry, it provides an added layer of coverage.
Contractors pollution, cyber and employment practices liability
When work is done that results in unforeseen consequences such as pollution, or the business needs protection against a cyber attack or employment practices claim, SitePro provides coverage.
Workers’ compensation protection
Required in most U.S. states before a business is compliant with regulations, this coverage is paid for by the employer and covers employees/the business if the worker is injured and/or falls ill while on the job.
The major reasons why SitePro is an advantage for your construction clients
SitePro is one of the most comprehensive insurance programs available for construction contractors focused on site preparation, grading and excavation (and land improvement).
In addition to the coverages outlined above, SitePro offers many coverage enhancements tailored specifically to your clients’ construction insurance needs.
Unrivaled construction industry expertise
With more than 35 years of experience, SitePro provides best-in-class insurance counsel and is your clients’ trusted partner. There is also a claims team available to help when issues arise.
Specialized coverage to fit any and all clients
Every construction business’ insurance needs are different, and it’s key to make sure they are properly covered before they begin work. SitePro’s insurance options are tailored and the program includes nationwide coverage, as well.
Expansive resources for your clients
With an insurance policy from SitePro, your clients get access to a free and expansive library of resources, which includes safety training and other online courses.
A dedicated team committed to excellent service
The SitePro team understands every client’s unique needs and evaluates every project and situation to ensure they have exactly what they need.
The comprehensive approach of SitePro and its industry-leading expertise
NIP Group has been insuring the construction industry for more than 35 years, making us experts in providing the best insurance for construction businesses in excavation and grading (and their essential employees). SitePro is the largest national liability insurance program for construction companies with the most experience protecting these specialized businesses with the most complete, customized insurance coverage.
Learn more about SitePro and how it can protect your clients’ cleaning business by visiting our website.
