Construction is one of the most profitable industries that still manages to be one of the most dangerous for workers. Building a new home or office can be tempting, but this industry is fraught with legal pitfalls that must be navigated carefully. This guide will explore the different types of permits and licenses, liability insurance requirements, and more!
Construction site accidents are some of the most common injuries that employers face. Workers’ compensation claims can pile up quickly if not properly handled! Hiring a construction law attorney to help navigate these legal issues is an important step for any contractor's business. This will ensure full compliance with the law, which can lower insurance premiums and avoid unnecessary lawsuits, especially if you're taking up projects in Queensland, Australia. You would want to consider contacting a local litigation lawyer in the Gold Coast to help you with all of the legal aspects of construction as you'll want the attorney to be near you and the construction site. If a problem arises, an attorney will be on-hand to provide legal advice and even represent you in court. If you're, for example, building a shopping mall in Melbourne, you'll need a good construction law firm to help.
Construction Permits and Licenses
Before starting any construction project, it is best to check with your local government offices for proper zoning laws, building permits, and other red tapes. As with any project, obtaining the proper permits and licenses is critical not only for local requirements but also for your liability insurance coverage. You should start this process as soon as you secure the clients because it can take weeks or even months depending on the locality. A permit will usually contain a start date, a construction budget or a total cost estimate, and a stop date. This will help in keeping track of the project's progress and ensure that you meet all deadlines. A construction license includes information on the type of work that will be done, whether or not the project violates any ordinance, and how it will affect traffic around/on the property.
Your business faces many dangers when working at construction sites, but very few are more dangerous than transportation-related accidents. According to data published by the Bureau of Labor Statistics (BLS), this sector experiences one of the highest rates of fatalities, greater than 7 deaths for every 100,000 workers. These accidents can easily cause property damage and bodily harm as well as insurance liability that could quickly wipe out your funds. Compensation for construction industry claims has been growing at 9% annually, bringing an average settlement of $2.7 million. The most common types of accidents on a construction site include falling from ladders, falling off the roof, electrocution, getting hit by something falling from above them, being caught in between moving objects or parts of machinery, and failure to tie downloads. However, one cannot oversee cyber security on a construction site as well. Having a good understanding of all these topics can help keep your construction crew safe and help you avoid any legal or medical trouble as you build your project.
Construction Liability Insurance
Insurance is the best protection that you can have against accidents or injuries. Liability insurance, which covers third-party claims, should always be mandatory for all construction sites regardless of how large or small they are. Remember that your business needs to show proof of its ability to pay should an incident occur. When applying for construction liability insurance, make sure that you get a quote from several providers to find out which one offers the lowest prices while still providing quality coverage. This insurance covers all of your assets just in case you're accused or sued for an incident that occurred during the project. Be sure to review all policies thoroughly and ask any questions that you may have with your insurance agent. The head of the constriction should be in charge of getting the right insurance for the workers which is something you should keep in mind.
Contracts With Investors & Clients
When dealing with investors or clients, you must have a written agreement. This document states the terms and conditions of your dealings with them as well as what responsibilities each party has to fulfill. For example, will they be financing construction and how long do they plan on doing so? Will they own the building after its completion? How will you share profits or costs? What happens when the project is finished? For larger projects, it's not always advisable to use a simple handshake agreement. Make sure that everything is in writing and that both parties completely understand all terms before signing on the dotted line. Also, make sure that you read over the documents before signing because they can't be reversed after.
Invoices and Storage
Invoices are a record of all expenses, materials, and equipment that have been purchased for the project. They're very important when doing a bid with a client or an investor because it's a way to justify your expenses in case they question you about any costs incurred. It also provides detailed information on what was done during the project which is great for any investors or customers who want to know more about what goes on behind the scenes. You need to be able to explain every cost so make sure that you have all of your receipts in order. When you purchase materials for a construction job, it's important that you make them available as soon as possible and to let staff know where they can be found. You should also take measures to protect all of your equipment and make sure that everyone who works on the site knows where safety equipment such as toolboxes, safety glasses, and gloves can be found. It's very important to do a walkthrough of the premises before starting construction to take note of any safety hazards and how you plan on avoiding them.
Construction can be very profitable, but it's also one of the most dangerous industries. Workers need to be aware of the possible dangers that they may face during their workday to prevent unfortunate incidents. Also, make sure you're covered by liability insurance before starting the project and that the client is too. Finally, keep track of your invoices and storage so that nothing goes missing.