Busy Specialty Trade Contractors Navigate Business Exposures
The global specialty trade contractor market is anticipated to grow at a considerable rate between 2021 and 2025 according to market surveys and analysis. As the U.S. economy recovers from the pandemic and projects on hold since 2020 recommence, the need for specialty trade construction is expected to increase.
Specialty trade contractors are construction industry professionals who provide specific services that require specialized skills. These contractors may provide services on a standalone project basis or as part of a larger construction project. Companies in this sector include HVAC, electrical, plumbing, concrete pouring and fence installation, just to name a few.
Like other businesses, specialty trade companies are required to navigate complex legal, regulatory, financial and employment-related issues that pose a threat to their balance sheet and bottom line. Many businesses took advantage of loans made available by the Paycheck Protection Program during the pandemic. A specialty trade business that borrowed these funds has a regulatory exposure as they seek loan forgiveness and confirm compliance with guidelines under the law.
Calling back, retaining and recruiting employees pose threats of legal action for discrimination, wrongful termination, retaliation or any number of perils related to employment. Offering employees benefits such as a 401(k) plan requires strict compliance to the fiduciary duties imposed by the Employee Retirement Income Security Act of 1974 (ERISA).
For these and many other reasons, a management liability insurance policy that includes directors and officers, employment practices, and fiduciary liability coverages is of vital importance. Devon Park Specialty’s management liability policy provides important protection on a duty-to-defend basis. This means if a specialty trade company finds itself the target of a lawsuit, a Devon Park policy will respond and defend the covered claim so the company can continue to focus on what it does best rather than wasting resources responding to a lawsuit on its own.
Devon Park has been successfully helping specialty trade companies satisfy their coverage needs since before the pandemic. Over the past 12 months, this has been one of our most successful classes. With our competitive policy language and excellent service, let us help you provide a competitive quote option to your clients. You can send submissions to [email protected].
As always, thank you for your support and business.
Contact and written by Stephen Easley
Vice President, Division Leader | 844-438-6775 Ext. 2536
September 2, 2021