Subguard

What if contractors could effectively manage the risk of subcontractor or supplier default?

SubGuard is an innovative alternative to surety bonds that helps manage the risk of subcontractor or supplier default.

SubGuard provides comprehensive, consistent coverage for all enrolled subcontractors while enabling general contractors to regain control of their projects if a subcontractor defaults.

Zurich offers comprehensive subcontractor default insurance programs designed to meet the needs of construction customers with annual subcontract volume of more than $75 million, including:

• General building contractors
• At risk construction managers
• Design-build firms benefit from positive loss experience

Program options:

• Large deductibles with single and multi-year aggregates
• Retrospective rating plans
• Policy limits of up to $50 million per occurrence and $150

Benefits:

• Empowers the contractor to evaluate and manage subcontractor default situations, bypassing potentially contentious and lengthy claims process that can result when using third-party guarantees
• Assists in identifying the root causes of construction operational and management issues
• Offers more control over the prequalification and regain control of their projects if a subcontractor defaults