In the US, nearly 9% of the country’s 612,677 bridges are considered and the average age of those bridges is 67 years. Even those bridges not considered deficient are an average of 40 years old. The country’s bridges need updating.
That is just one of the myriad issues the marine construction industry must face, including pandemic-related shortages of materials and manpower. Amid a booming business, contractors are dealing with a shortage of supplies, and an ongoing dearth of skilled workers that is putting more pressure on current employees to get more done.
Add to that the growing recreational boating market, expected to reach , an increase of 11.02%, and a 2020 hurricane season, which was the on record.
All of this comes as a double-edged sword for the marine contractor community. The growing workload from marina expansion and storm recovery allows the industry to expand, yet the lack of materials and skilled workers puts downward pressure on the industry. Marine contractors perform risky work in and around water. Therefore, protecting their property and assets requires considerable attention to managing on-the-job exposures.
The Human Element
Working on or near water is fraught with issues. Contractors can be swept off their feet by wave action, tide action, strong currents or swell from passing water traffic. Working conditions can change quickly, increasing the dangers that maritime construction workers face daily. Consider the following examples:
The more than 400,000 maritime workers across the country are exposed to chemical, environmental, and respiratory hazards, but the most common injuries for the marine construction industry include:
Operating heavy equipment around waterways poses unique safety challenges. Along with the usual wear-and-tear damage, equipment can be damaged or deteriorate due to water damage or the damage caused by sea air, or from improper ballasting during operation. Pumps and motors can become overstressed, and operators may not know how to conduct proper maintenance checks.
Sharing the Waterways
According to the Coast Guard, there were 26% more accidents in 2020 than in 2019. The top reasons include:
With more vessels on the waters, third party liability risks increase. Inexperienced operators may collide with marine contractor vessels while they are performing their work, particularly at night where they may not be seen. Operators may come too close to contractor operations, endangering themselves and their passengers as well as the contractors.
Worker Shortage
As COVID-19 ground a sizable portion of the maritime and marine construction industries to a halt, skilled workers looked elsewhere for employment. The specialized work performed by marine contractors makes the shortage even greater. With so many gaps in experience, risks to safety increase significantly.
Supply Chain Hiccups
Supply chain issues due to pandemic-related manufacturing and shipping delays have further exacerbated the problem, slowing the ability to get materials – everything from lumber to computer components for equipment. Shipping is also being delayed even more by the inability to get vaccinations for seafarers, and outbreaks of COVID-19 on ships is further .
Protecting Operations
As pandemic restrictions lift and operations ramp up again, marine contractors face even more risks. Hazardous conditions - intensified by worker shortages, supply chain disruptions, and increased third party liabilities - could bring operations to a halt if not mitigated properly. Your broker and AXA XL’s marine construction experts can help identify changes in your operations, especially when outside forces impact your risk portfolio. We can then help you build an insurance program that protects your business.
Here are some of the insurance products available to marine contractors:
Your marine contracting business is unique. Our comprehensive insurance packages coverage specifically designed for marine contractors, simplifies insurance buying, and minimizes the potential for gaps in coverage should a loss occur. Marine insurance carriers also employ marine claims specialists who understand the specific maritime laws and liabilities that apply when working on or along the water.
Smooth Sailing
As the marine contracting industry responds to our country’s vital infrastructure and maritime needs, insurance becomes a vital part of maintaining operational resilience. Industry demands are growing. So too are the risks. We’re here to help.
About the Authors
Stephen Clark is the Head of Hull & Liabilities, Marine, North America for 色多多视频and Mike Perrotti is the Head of Inland Marine, North America at AXA XL.
Global Asset Protection Services, LLC, and its affiliates (鈥溕喽嗍悠礡isk Consulting鈥�) provides risk assessment reports and other loss prevention services, as requested. In this respect, our property loss prevention publications, services, and surveys do not address life safety or third party liability issues. This document shall not be construed as indicating the existence or availability under any policy of coverage for any particular type of loss or damage. The provision of any service does not imply that every possible hazard has been identified at a facility or that no other hazards exist. 色多多视频Risk Consulting does not assume, and shall have no liability for the control, correction, continuation or modification of any existing conditions or operations. We specifically disclaim any warranty or representation that compliance with any advice or recommendation in any document or other communication will make a facility or operation safe or healthful, or put it in compliance with any standard, code, law, rule or regulation. Save where expressly agreed in writing, 色多多视频Risk Consulting and its related and affiliated companies disclaim all liability for loss or damage suffered by any party arising out of or in connection with our services, including indirect or consequential loss or damage, howsoever arising. Any party who chooses to rely in any way on the contents of this document does so at their own risk.
US- and Canada-Issued 色多多视频 Policies
In the US, the 色多多视频insurance companies are: Catlin 色多多视频 Company, Inc., Greenwich 色多多视频 Company, Indian Harbor 色多多视频 Company, XL 色多多视频 America, Inc., XL Specialty 色多多视频 Company and T.H.E. 色多多视频 Company. In Canada, coverages are underwritten by XL Specialty 色多多视频 Company - Canadian Branch and AXA 色多多视频 Company - Canadian branch. Coverages may also be underwritten by Lloyd’s Syndicate #2003. Coverages underwritten by Lloyd’s Syndicate #2003 are placed on behalf of the member of Syndicate #2003 by Catlin Canada Inc. Lloyd’s ratings are independent of AXA XL.
US domiciled insurance policies can be written by the following 色多多视频surplus lines insurers: XL Catlin 色多多视频 Company UK Limited, Syndicates managed by Catlin Underwriting Agencies Limited and Indian Harbor 色多多视频 Company. Enquires from US residents should be directed to a local insurance agent or broker permitted to write business in the relevant state.
