Construction Managers at Risk (CMAR)

Full List of Construction & Contracting Services

In a CMAR delivery method, the Construction Manager (CM) acts as a consultant to the owner during design but transitions into the role of a general contractor during construction, providing a Guaranteed Maximum Price (GMP). Construction Manager at Risk insurance is designed to address the dual exposure of professional advisory services and the direct liability of construction execution, subject to the terms, conditions, exclusions, and limitations of the policy issued.

Coverage is structured to address claims arising from construction defects that render a h

1. Professional Liability (Errors & Omissions)

Because the firm is responsible for the design, they face direct exposure for errors in blueprints, structural calculations, or material specifications. Coverage is structured to address financial losses and remedial work required when a design flaw is discovered during or after construction.

Residential sites are often located in accessible neighborhoods and are prone to theft of

2. Protective Indemnity & Vicarious Liability

Design-build entities often subcontract the actual design work to outside architects or engineers. This coverage protects the firm if the subcontracted designer’s insurance is insufficient to cover a major loss, or if the firm is held vicariously liable for the subcontractor's professional negligence.

Many standard policies exclude _Condo_Townhome_ work due to the high risk of class-action

3. General Liability & Construction Operations

While Professional Liability covers the "brain work," General Liability covers the "hand work". It provides protection for third-party bodily injury or property damage occurring on the job site, such as a crane accident or a fire caused by faulty hot work.

Residential builders must often comply with state-mandated _Statutes of Repose_ and implie

4. Rectification / Mitigation of Damages

This is a critical feature for design-builders. It allows the firm to correct a design error discovered during construction—before it leads to a formal claim—thereby minimizing project delays and preventing a larger future loss.