Most builders buy general liability and workers comp insurance from the same company. While there is no reason to change this strategy, the rapid increase in workers comp rates has changed the way insurers sell construction insurance, and the way builders shop for it. There are still two primary markets for workers comp insurance: the voluntary market, and the assigned risk pool. In the voluntary market, insurers can decide whether to underwrite policies based on the track record of each construction company that applies. Insurers have no choice, however, when it comes to the assigned risk pool. Builders in this category are either engaged in dangerous work, such as blasting or mining, or have a poor claims record.
