Claims
Contractor failure presents a major headache for the Design
Team charged with picking up the pieces on a half finished
project.
We
are here to ease the pressure!
We approach
claims
in the same way we approach our underwriting - un-bureaucratic, open
minded and efficient.
We can offer assistance in the following
areas:
- Determination of
Original Contract
- Securing Site
- Selection of Completion Contractor
- Sub Contractor Liaison
- Dealing with Liquidator
- Formulation of
Claim
In any claim our
imperative is to have the least possible interruption to the works.
We strive to have the contract recommenced as
quickly as possible and completed with minimum
delay.
The reason for every claim is different.
Causes of contractor default are often complex however ascertaining
the
loss payable under the bond is simplicity itself.
Example
In this example, Shaky
Construction has gone bust with half of the project remaining to be
completed.
| Original Contract Sum |
|
| 1,000,000 |
| Work Certified | 500,000 |
|
|
| Retention | 100,000 |
|
|
| Paid to Shaky Construction Ltd | | 400,000
|
|
|
|
|
|
| White Knight Contracting
Ltd |
|
|
|
| Price to Complete |
| 700,000 |
|
|
|
|
|
| Additional Expenses |
|
|
|
| Design Team | 25,000 |
|
|
| Security | 10,000 |
|
|
| Insurance | 5,000
| 40,000
|
|
|
|
|
|
| Total Spend |
|
|
1,140,000 |
| Payable under Bond |
| | 140,000
|