Construction Insurance: How Claims History Impacts Insurance Coverage and Cost 

Understanding how your claims history affects your construction insurance is essential for every contractor and business owner in Connecticut. At AJ Gambardella Associates, LLC, we know that managing risk and keeping insurance costs in check are top priorities for our clients.

Why Claims History Matters in Construction Insurance

Insurance companies use your claims history as a key factor when determining your construction insurance premiums and coverage options. A record with frequent or severe claims may signal greater risk, which can lead to increased costs or limited policy choices. On the other hand, a clean or improving claims history can help you secure better rates and broader protection.

The following are some ways claims history can influence coverage:

• Premium Increases: Multiple claims, especially those involving large losses or liability issues, can cause your premiums to rise at renewal.
• Coverage Restrictions: Insurers may limit certain coverages or add exclusions if your claims history suggests ongoing risks.
• Deductible Adjustments: You may be required to accept higher deductibles as a condition of coverage.
• Policy Non-Renewal: In some cases, a poor claims record can make it difficult to renew your policy or find new coverage.

AJ Gambardella Associates, LLC Can Help

We understand the unique challenges faced by Connecticut construction businesses. By partnering with us, you gain access to knowledgeable advisors who are committed to helping you secure the right coverage at a competitive price. Contact our team today to get started.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.