RCI Elects Board of Directors

RCI elected its 2015-16 board of directors at the Annual Meeting of Members during the RCI 30th International Convention and Trade Show in San Antonio.

The following are members of the board:

  • President: Jean-Guy Levaque, RRC, RRO, Halsall Associates, Burlington, Ontario, Canada
  • First vice president: Robért Hinojosa, RRC, RWC, REWC, RBEC, RRO, PE, CDT; RJH and Associates Inc., Miramar Beach, Fla.
  • Second vice president: Michael L. Williams, RRC, RWC, RRO; Building Envelope Consulting LLC, Leesburg, Va.
  • Secretary/treasurer: Michael E. Clark, RRC, RWC, REWC, RBEC, RRO, PE, CSRP; Michael E. Clark & Associates Inc., Macon, Ga.
  • Immediate past president: Sidney I. Hankins, III, RRC, AIA, Roof Design and Consulting Services Inc., Knoxville, Tenn.
  • Executive vice president and CEO: James R. Birdsong, RCI, Raleigh, N.C.
  • Region I director: Markian Duma, Mtn View Corp., Pine Island, N.Y.
  • Region II director: Scott M. Hinesley, RRC, PE; REI Engineers, Charlotte, N.C.
  • Region III director: Raymond A. Makiejus, RRC, RRO, Flood Testing Laboratories Inc., Chicago, Ill.
  • Region IV director: Steven C. Drennan, Conley Group Inc., Irving, Texas
  • Region V director: Michael Gardner, RRC, RRO; Wiss, Janney, Elstner Associates Inc., Lakewood, Colo.
  • Region VI director: Paul Kompauer, PEng, Calysta Consulting, Abbotsford, BC, Canada
  • Region VII director: Edward A. Sheridan, RRC, REWC, RWC, RBEC, PEng; Fishburn/Sheridan & Associates Ltd., Ottawa, ON, Canada

Single Insurance Policies that Insure All Parties on a Specific Construction Project Offer Benefits and Risks

With the use of wrap-up insurance policies on the rise for commercial construction projects, many contractors and subcontractors have questions about how these policies work and what unique concerns and questions they present.

Generally, wrap-up insurance refers to single insurance policies written to insure all parties involved in a specific construction project—providing coverage for the job-site risks of the owner, construction manager, general contractor, contractors, subcontractors and design firms—instead of the individual parties each purchasing and carrying their own insurance policies. Wrap-up insurance policies are most commonly used on very large commercial or public projects. Many project owners and general contractors have found that using these policies is an effective risk-management technique for handling loss exposures related to single and multiple-site construction activities.

With wrap-up insurance, the cost and extent of coverage are generally within the owner’s control.

With wrap-up insurance, the cost and extent of coverage are generally within the owner’s control.

Benefits

There are two primary types of wrap-up insurance policies: Owner Controlled Insurance Policies (OCIPs), in which the project owner is the primary sponsor, and Contractor Controlled Insurance Policies (CCIPs), which are controlled by the general contractor. Additionally, owners and general contractors can cover multiple projects under a single program in Rolling Controlled Insurance Policies (RCIPs). Typically, wrap-up insurance policies include general liability, workers’ compensation/employer liability, excess liability and builder’s risk as standard coverages, but many owners also add coverage for project environmental liability and project design team errors and omissions.

The benefits of using wrap-up insurance are numerous, especially for the owners or contractors who sponsor them. A successful wrap-up insurance program can significantly reduce risk for owners or contractors, giving them more control over insurance coverage for all the parties and avoiding unpleasant surprises about the extent of coverage parties have. Under the traditional model, owners or general contractors establish minimum insurance requirements for subcontractors and require them to furnish a certificate of insurance specifying coverage areas and limits. However, because all insurance policy terms differ slightly, there is no guarantee that a given subcontractor’s insurance will be adequate, or still in force, at the time of a loss. Furthermore, contractors and subcontractors normally have to build their insurance costs into their contract costs, and this increases bid amounts.

With wrap-up insurance, the cost and extent of coverage are generally within the owner’s control. When sub-contractors no longer have to increase their bids to factor in insurance costs, owners claim they can utilize the cost savings to fund the costs of the wrap-up insurance. And the potentially more streamlined process for handling claims can make prospective litigation less time-consuming and costly.

Risks

OCIPs and CCIPs, of course, come with their own set of risks and drawbacks for owners, contractors and subcontractors, and the parties who are asked to enroll in these policies do not always look upon them favorably. Some subcontractors and contractors have found that enrolling in wrap-up insurance policies is administratively burdensome and that the resulting decrease in volume of insurance purchases for their companies can increase the costs of other insurance they must purchase. Additionally, subcontractors should make an effort to understand the limits of coverage; it may differ from the coverage in the policies they have been accustomed to using. This should be done at the procurement stage, before a project begins, and not later, after project contracts have been signed.

Those investigating the level and limits of coverage will want to determine how responsibility for any injuries, losses or damage will be addressed and confirm that the responsibility is outlined in the building contract or the written wrap-up policy. One potential source of misunderstanding is builder’s risk coverage. Often, builder’s risk insurance is carried by the builder. With wrap-up policies, owners and general contractors may be particularly concerned with the scope of the builder’s risk coverage. For example, if a wrap-up policy excludes property damage occurring during construction but the builder’s risk policy excludes faulty workmanship, a potential gap in coverage would exist. The wrap-up insurer might take the position that it won’t pay for what is essentially a builder’s risk claim. To prevent such an outcome, owners may find they need to add coverage to the builder’s risk policy to cover faulty work or at least repairs.

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RCI International Convention & Trade Show Features More than 25 Hours of Educational Seminars and Live Product Demonstrations

The 30th RCI International Convention & Trade Show will be held March 20‐25, 2015, at the Grand Hyatt San Antonio and San Antonio Convention Center in San Antonio.

The annual event will feature more than 25 hours of educational seminars, live product demonstrations and a two‐day trade show with more than 130 exhibitors. Educational programs are approved to yield continuing education credits for members of RCI and the American Institute of Architects. “It’s a great opportunity to earn a full year’s worth of continuing education credit at one event,” says William Myers, RCI’s marketing director. “RCI’s consultant members will visit the trade show to discover the latest products for designing and repairing today’s building envelopes.”

RCI is an international association of building envelope consultants whose members specialize in design, investigation, repair and management of roofing, exterior wall and waterproofing systems. More than 1,300 attendees are expected at this year’s event.
In addition, RCI regularly hosts education programs designed to demystify and explain the application of roofing, waterproofing and exterior wall technologies.

IB Roof Systems Commits to RCI Foundation Donation

Sixty seconds of an RCI Trade Show attendee’s time equals a donation to the RCI Foundation. IB Roof Systems has announced it will donate a minimum of $1,000 to the Lewis W. Newlan Educational Fund on Sunday, March 23, during the annual RCI Foundation Auction at the 19th Annual RCI Conference and Trade Show in Anaheim, Calif.

In an effort to educate RCI roofing consultants about IB’s PVC Single Ply Roofing Systems, the company has agreed to donate $20 per trade show attendee who visits the IB booth and answers a few simple questions that comprise the 60-second, “IB-IQ” questionnaire. The IB-IQ questionnaire is an iPAD-based set of questions about IB, their products and the roofing systems they offer.

In an effort to support the educational initiatives of the RCI Foundation, IB has pledged a donation of at least $1,000 and possibly more based on how many attendees answer the IB-IQ questionnaire. At $20 per attendee, the more attendees who complete the IB-IQ questionnaire the more money IB will give to the RCI Foundation up to $5,000.

“RCI is an invaluable organization that strives to continually improve our industry. Furthermore, RCI is aligned with our brand promise by recognizing and promoting time tested, high quality roofing products installed by well trained roofing contractors,” says a company executive. “IB Roof Systems is proud to support the educational efforts of the RCI Foundation.”

The RCI Foundation is a non-profit 501c3 organization that financially supports activities that advance the knowledge of the building envelope, including publications, educational programs and research. The Foundation is separate and independent from RCI, Inc., which is the organizer of the RCI Conference and Trade Show, to be held at the Anaheim Hilton and Anaheim Convention Center March 20-25.

IB’s Phillip David, director of Technical Services and RCI member, will present the check at the RCI Foundation auction to be held 6:30 p.m. Sunday, March 23, at the Hilton.