An OCIP sponsor has greater insurance purchasing power than
individual contractors and subcontractors, making them better
equipped to procure a quality, efficient, and cost effective
insurance package for all parties engaged at the project site.
Greater purchasing leverage means better coverage for the
entire project and higher limits.
Why are higher limits so important?
Imagine you are the owner of a large project that experiences
a heavy loss. After your subcontractors' insurance limits
have been reached, there are remaining damages. These costs
fall upon you, the owner, to cover. With a wrap up, your potential
financial risk is managed more effectively. A wrap up protects
you and your project because an OCIP/CCIP offers very high
limits of insurance, all 100% dedicated to the construction
activities at your project site(s).
