Risks and Benefits of WRAP Up, OCIP (Owner Controlled), CCIP (Contractor Controlled) Policies, Subcontractor Default Insurance (Subguard), and Payment Bond/Surety: Litigating Third-Party Claims, Dealing with Excess Carriers, and

February 25, 2015 1:45pm

Brendan Winslow-Nason
Cozen O’Connor

Kimberly Hansen Petrina
Traub Lieberman Straus & Shrewsberry, LLP

Leeann Irvin Esq.
Senior Claims Analyst U.S. Casualty Claims
Allied World Insurance Company

Scott D. Nader
Vice President Chief Counsel, Americas
Crawford & Company


  • Inherent risks/benefits of a contractor putting one policy into play and making everyone including subcontractor into that one policy
  • Benefits of a wrap up policy: more limits, more coverage and unified coverage


  • Litigating third-party claim when there is only one insurance policy
  • Factoring in primary and excess carriers
  • Dealing with burning limits policies (limits that erode for defense cost; number of occurrences)
    • Resolving conflicts with attorney representation
  • Insurers that issue reservation of rights


  • Risks and benefits with contractor controlled policy

Subcontractor default insurance (Subguard) v. payment bond/surety

  • What is the effect of using a contractor default insurance product v. payment bond/surety?