The adage cash is king is never more real, cashflow is the life blood for any company. Recent developments with late payments, retentions and increases in the cost of Professional Indemnity insurance coupled with the proposals from government to impose reverse VAT on parts of the construction industry are stretching some companies to breaking point.
Many steelwork contractors are suffering from the doubling and trebling of PI insurance premiums. Insurance companies that are willing to offer cover are offering it for ‘aggregate’ claims and are no longer for ‘each and every’ claim. Undoubtably, the hardening
of the insurance market could have been affected by events at Grenfell that none of us want to see a repeat of, but I suspect there’s more to it than that. I’d like to see insurance companies take into account the professionalism and quality of specialist contractors.
All of BCSA’s members are subject to annual audits that focus on all the good practices that demonstrate good governance and professionalism.