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Understanding the construction management errors and omissions exclusion

Here's what you need to know about the construction management errors & omissions exclusion.

By Susan Massmann | Updated on November 08, 2016
Construction project managers are often involved in design-build projects and may require specific insurance coverage. (Photo: iStock)

The Insurance Services Office (ISO) provides several endorsements to the Commercial General Liability (CGL) Coverage Form that address construction risks. One such endorsement is CG 22 34, Exclusion — Construction Management Errors and Omissions.

A general contractor is usually the person or entity with responsibility and control over the means, methods, sequences and techniques of the work in general, including the coordination and supervision of the work of subcontractors. Some general contractors also may perform some of the work. Although a general contractor doesn’t have to be a professional or to perform work considered to be of a professional nature, it’s common to find general contractors with professionals on staff who are qualified to, and in fact do, function as construction managers.

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