New York City Lawyers — Insurance and Bonds for Construction Projects
Surety and performance and payment bonds, and construction insurance are integral parts of construction projects. At the New York City law firm, Greenberg, Trager & Herbst, LLP, (GTH), our attorneys assist owners, owner-developers, contractors and vendors in selecting the appropriate products for their respective needs.
Our firm has been involved in construction law since 1919 and has the knowledge and experience to advise and represent clients in all matters related to surety bonds and construction insurance. Contact us to schedule a consultation regarding your specific insurance or bond matter.
A surety bond guarantees that a contractor will complete the obligations defined in its contract, which becomes part of the bond. The obligations can include faithful performance of the work, payment of subcontractors and bid guarantees. For public construction projects, surety bonds are a way of protecting the agency or jurisdiction against the risks inherent in the lowest-bidder system. The bond assures the owner, such as a school district or other public agency, that the project will be completed as described in the construction plans and specifications and as required by the contract.
Our New York City attorneys regularly review surety bonds written by surety companies and other third parties. We identify issues that may require negotiation or adjustment in order to minimize the risks to our client. We also evaluate and advise regarding the reputation and rating of the surety company issuing the bond.
Surety bonds almost always are required for public projects. Performance and payment bonds often are issued for private projects to protect the owner. Whether the project is public or private, our lawyers have the knowledge and experience to evaluate and negotiate bond documents.
Construction Insurance, Bid Bonds and Property Insurance
Construction insurance often is overlooked, but has the potential to save a project from disaster. It can protect the site, the public and the insured parties in the event of calamities such as a building collapse, shoring accidents and design defects. The lawyers at GTH help clients identify and select the correct insurance products for their needs. We advise regarding appropriate levels and types of insurance coverage and assuring that all necessary parties are named and covered by such policies. Some of the products we help evaluate include:
- Builder’s risk insurance
- Liability insurance, including commercial general, automobile, employer’s liability and statutory workers’ compensation
- Contractor-Controlled Insurance Programs (CCIP)
- Owner-Controlled Insurance Programs (OCIP)
- Subguard, also known as subcontractor default insurance, an increasingly common substitute for surety bonds
- Owner’s Professional Program Insurance (OPPI)
We work closely with our clients’ brokers to determine the most appropriate and cost-effective insurance product for project under consideration.