Running a business has inherent risk—some more than others. Most business owners accept this risk as part of the territory. However, certain industries carry more potential hazards by nature of their work. Among these markets, construction is near the top of the list. According to the New York Law Journal, disputes continue to soar in 2023, largely because the market continues to remain in flux and is likely to continue this sporadic behavior in the coming years. The global average of a dispute in this industry rose to a startling $54.26 million in 2020 and is on the rise. The American Arbitration Association reported a mediated case as high as $105 million. Sadly, business shutdowns and bankruptcy sometimes follow.
These astronomical numbers often occur because of ineffective construction claims management. But this doesn’t have to be how the story ends. With proper planning and an investment in top-notch risk and claims management solutions, companies—big and small—can get proactive and avoid disastrous loss. Industry leader eMaxx understands this. With clients nationwide in construction, crane & rigging, utilities, waste and recycling, energy and other high-hazard markets, the team knows the business from contract documents to project completion. eMaxx’s claim management in construction drives down costs and bolsters accountability.
The eMaxx team specializes in identifying and addressing societal trends that increase the costs of insurance disputes. This includes social inflation (when dispute costs rise above standard economic inflation levels) fueled by overly litigious claimants and nuclear jury verdicts. To be effective, claims in construction management should combat this exploitation and distorted trends with strategies proven to minimize these unexpected surprises and address any problems. eMaxx has at the ready a variety of proprietary litigation management programs to identify these types of claims, suppress them and mitigate them if they occur. From analyzing validity to making adjustments and automating adjuster notes, eMaxx keeps in constant contact with its clients throughout the entire process. The team never lets a case sit on the back burner. Rather it deploys strategies that prevent escalation, with detailed records and 24/7 monitoring.
One of the best ways to ensure effective claims management in construction is to understand the industry-specific problems in the early portion of a project and eliminate them before they happen. That’s where smart risk management planning comes into play, by implementing state-of-the-art technology. This risk coordination also includes analysis of scope or work, design problems, problematic communication among contractors and unforeseen site conditions.
Don’t delay planning for the inevitable. Deploy proven proactive construction claims management strategies from eMaxx to minimize and manage your cases successfully.