NFP podcast series - Mitigating risk in the construction industry

Building with confidence and navigating risk in construction: Insights from NFP, the Global Insurance Broker.In this episode, the Building PA Podcast and guest Ivan Usero sheds light on the critical role of NFP, a global insurance broker, in helping construction companies mitigate risks. Ivan Usero provides valuable insights into risk management strategies, the importance of technology, and various types of risks in the construction industry. By understanding and addressing these risks, contractors can protect their projects, enhance safety measures, and ensure a smoother claims process.Usero highlights the concept of outsourced risk management, where NFP assumes the responsibility of handling commercial insurance and risk-related matters on behalf of their clients. They assist in program design, risk transfer, consultation, and other aspects to minimize exposures and positively impact clients' bottom line.The hosts and Usero discuss the significance of mitigating risk in the construction industry. They explore different types of risk, including environmental, force majeure, and supply chain risks. Asano stresses that risk mitigation is crucial because construction risks can be costly, often ranging from 10% to 15% of project value, especially in cities like New York and Chicago.They also touch on vandalism and theft, contractural transfer and trends, and future considerations.Usero shares insights into emerging trends in the insurance industry. He emphasizes the need for contractors to be proactive and innovative in adopting technology and managing risks. Additionally, he advises paying attention to market updates, such as changes in construction insurance policies, inflation's impact on costs, and potential penalties associated with coinsurance.NFP is a massive global insurance broker, generating close to $2 billion in revenue. They offer services in various areas, including employee benefits, property and casualty, retirement planning, and more. Usero describes NFP as an agile and adaptable entity, capable of navigating the complex insurance landscape for their clients.