Environmental insurance for construction

A study conducted by Global Construction Perspectives and Oxford Economics recently estimated that the value of construction output would grow by 85% to USD 15.5 trillion worldwide by 2030.

With continued growth in the industry, there has been increased scrutiny of the negative environmental impact of construction, with the industry regularly cited as one of the worst performers across water, air, and third-party property polluters.

Environmental cover is increasingly a prerequisite within contract tenders and is regularly requested by construction firms and contractors. One of the main drivers for this change is the unexpected recent financial impact incidents have had on the timely delivery of projects, and the unprecedented remediation costs that have fallen onto developers as a result of such incidents.

As awareness of these issues increases globally, legislative and contract requirements are expected to become more onerous.



In conjunction with our construction and environmental teams, we support solutions for projects and group annual policies of all type of operations, working with property developers, operations and maintenance contractors and remediation specialists.

We provide solutions for a range of projects types, including national infrastructure (road, rail, ports, airports, water supply and sewerage) and international energy projects, such as power stations, trans-national interconnectors, and pipelines to offshore projects (wind farms, platforms, telecoms), and single site constructions of varying scale.

Some of the key exposures for contractors to consider include the use and storage of raw materials, chemicals and fuels transported to and used on site(s).


Failure of site equipment and processes leading to release and the potential for run-off into the surrounding environment and third party property should also be considered, as well as disturbance of pre-existing contamination through sub-surface excavations and structures, accidental incidents at third-party premises through operations and maintenance contracts, and potential third-party business interruption expense as a result of a pollution release event.

JLT performs a full analysis of projects and operations to ensure clients are partnered with suitable insurers, avoiding any uninsured loss and negative reputational impact in regards to a company’s ability to deliver on a project.

Key Facts

200% Increase in the level of environmental placement in 2017-18GBP 5 Million + placed into the London market400 million+ environmental capacity accessible in the London marketsOne of the largest environmental broking teams in London


Today, companies see environmental exposures as one of their biggest emerging risks. Our global team has the underwriting, engineering, consulting, claims, and wordings expertise to provide market-leading advice and deliver fit-for-purpose solutions for the most complex areas of risk.

This expertise has resulted in a 200% increase in the level of environmental placement in 2017-2018. This has been matched by a doubling in size of our environmental specialist team, which has access to GBP 400 million of environmental capacity in Lloyds and London markets.

Our specialist knowledge of key industry areas is complimented by strong and diverse relationships across the specialty insurance market, as well as our access to traditional and emerging markets through the JLT International Network.

We work closely with our clients to structure a policy that mirrors their risk profile and transfers the appropriate level of risk to the right insurer.

Additional services include:

  • Program Gap Analysis - Identifying coverage gaps in existing programs, discussing how these could impact a business, and the extent to which they can be covered
  • Global Program Advice - Including where legal and regulatory regimes may require local policies or heightened environmental due diligence
  • Risk Solutions - Through our engineering team, we provide fee-based surveys and advice to support clients in reducing program premiums
  • Claims Liaison and Support - Our claims advocacy team has experience across a number of complex environmental claims, ensuring the best interests of our clients are represented.

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