Delays, budget friction, and finger-pointing often start before the first lift. Separate policies bring mismatched limits, exclusions, and renewal dates — so one incident can freeze the schedule. A single wrap-up insurance program puts the site under one set of terms and one claims path.

At Kavana Insurance, we use construction wrap-up insurance to align coverage across tiers and minimize administrative burden. In this guide, we’ll explain what wrap-up insurance is, show how wrap-up insurance works on a live job, give an OCIP vs CCIP comparison, and note when wrap-up insurance for contractors and owners outperforms individual placements.

What is wrap-up insurance in construction?

In construction, wrap-up insurance is a single, project-specific program that centralizes core construction project insurance coverage under one sponsor (owner or GC/CM) for the jobsite. Rather than each trade carrying separate general liability, workers’ compensation, and excess/umbrella for on-site work, wrap-up construction insurance enrolls eligible contractors and subcontractors into one coordinated framework with uniform terms, limits, and claims procedures.

This structure reduces certificate chase at mobilization and cuts mismatched exclusions, overlapping premiums, and carrier-to-carrier disputes after an incident. A well-designed wrap-up insurance for construction projects applies strictly to operations at the defined site and for the project duration; off-site fabrication, storage, and transportation typically remain on each participant’s own policies. For context on how a wrap fits alongside other lines, see our construction insurance overview.

OCIP vs CCIP: the two types of wrap-up policies

Both models are forms of construction wrap-up insurance for a single jobsite. They centralize coverage, but the difference is who sponsors the program and how control, cash flow, and administration work in practice. In an OCIP vs CCIP comparison, the levers are sponsor authority, where insurance credits show up in pricing, and which team can run enrollment, payroll audits, and closeout without slowing production. Operationally, this is how wrap-up insurance works under each model.

Owner-controlled insurance program (OCIP)

An owner-controlled insurance program (OCIP) puts the project owner in the sponsor seat. The owner sets uniform terms, purchases the program, and enrolls the prime and subs for on-site work under an owner-sponsored model.

  • Funding and pricing. The owner purchases coverage. Trade bids reflect insurance credits for what subs would have carried.
  • Scope. Project-specific GL and excess/umbrella with WC/EL for on-site operations where permitted by state rules. In monopolistic WC states (ND, OH, WA, WY), participants place statutory WC with the state fund. The wrap provides Employers’ Liability or stop-gap coverage and coordinates through the manual.
  • Claims and oversight. One claims channel through the owner’s adjuster. Safety standards and reporting follow the wrap manual.
  • Typical fit. Campus builds, multi-phase jobs, and public work. Projects often pencil out above roughly $10–25M, depending on market and loss history. Key benefits of wrap-up insurance here are uniform terms across tiers and fewer cross-party disputes.

Contractor-controlled insurance program (CCIP)

A contractor-controlled insurance program (CCIP) makes the GC/CM the sponsor. The contractor places the program, enrolls subs, and runs day-to-day administration. This is wrap-up insurance for contractors who take the lead on risk management.

  • Funding and pricing. The GC/CM carries program costs in the project budget or GMP. Subcontractor pricing reflects credits for base coverage removed for on-site work.
  • Scope. Project-specific GL and excess/umbrella with WC/EL for on-site operations where permitted, with the same state-fund caveat as above.
  • Claims and oversight. A single reporting path through the contractor’s team with tight alignment to site safety and return-to-work.
  • Typical fit. CM-at-risk or design-build jobs, fast sequencing or a rolling series of projects. Thresholds vary by market, but CCIPs often make sense above roughly $5–10M when the contractor has the admin capacity to run the program.

What does wrap-up insurance typically cover?

Wrap-up construction insurance centralizes core construction project insurance coverage for on-site work under one program. Typical components:

  • General Liability (project-specific). Third-party injury and property damage from jobsite operations with uniform limits and wording.
  • Excess/Umbrella. Higher limits above project GL and Employers’ Liability.
  • Workers’ Compensation / Employers’ Liability. For on-site employees, where permitted by state rules. In monopolistic WC states (ND, OH, WA, WY), statutory WC remains with the state fund, the wrap coordinates and may provide stop-gap EL.
  • Completed operations. A defined post-completion term so late-arising claims track to the program.
  • Optional lines. Contractors’ pollution for jobsite environmental events and limited project professional liability on design-build.

Scope is project-specific. Off-site fabrication, storage, and transport stay on each participant’s own policies. Builder’s Risk is usually separate property coverage for work in progress, coordinated with the wrap for claims handling. Clear boundaries are a practical benefit of wrap-up insurance on complex jobs.

Who is covered under a wrap-up policy?

Enrollment drives how wrap-up insurance works day to day. The manual defines who is inside the program and when coverage attaches.

Typically included

  • The sponsor (owner in an OCIP or GC/CM in a CCIP).
  • The prime and enrolled subcontractors that perform on-site work.
  • Temporary labor under enrolled entities when listed.

Commonly excluded

  • Material suppliers that never access the site.
  • Delivery drivers and over-the-road trucking.
  • Off-site fabricators and warehouses.
  • Design professionals’ professional liability. They may be enrolled in on-site GL, but PL stays on their own program.

Coverage starts after enrollment when on-site work begins and follows the project through substantial completion and the stated completed-ops term. This keeps wrap-up insurance for construction projects clear on roles, reporting, and claims paths.

Benefits of wrap-up insurance for contractors and owners

The real benefits of wrap-up insurance show up in day-to-day operations and at claim time. By centralizing construction project insurance coverage for the jobsite, construction wrap-up insurance replaces dozens of moving parts with one coordinated program that supports production instead of slowing it.

Simplified claims handling and unified coverage

One reporting path. One adjuster. One set of forms. That is how wrap-up insurance works when a loss hits. Investigations start faster, reserves get set sooner, and repairs move without carrier-to-carrier wrangling. With uniform terms for enrolled parties, you spend less time arguing over endorsements and more time getting the crew back to work.

Cost savings on large projects

On big jobs, a wrap can lower the total cost of risk by removing duplicate premiums, centralizing administration, and capturing credits in bids. OCIPs reflect insurance credits on trade proposals. CCIPs keep costs predictable within the project budget or GMP. Consistent safety standards and a shared completed-operations tail can also improve loss results over time.

Reduced cross-party liability disputes

Separate policies invite fights over additional insured status, primary and noncontributory wording, and priority of coverage. Under a wrap, most parties sit under the same umbrella, so disputes shrink and timelines hold. Fewer subrogation battles mean less legal spend and fewer schedule shocks after an incident.

Better risk management oversight

A wrap creates one source of truth for incidents, payroll, or man-hour reporting, and return-to-work tracking. Sponsors see trends by trade and phase, tighten lag time, and adjust method statements before issues repeat. On rolling programs, you can watch aggregate erosion across projects and act early. For wrap-up insurance for contractors and owners, that visibility turns policy terms into practical control on site.

When is wrap-up insurance a better choice than individual policies?

Use wrap-up insurance for construction projects when the job is big, busy, and risk-heavy. Single projects above roughly $10–25M, multi-phase campuses, or a rolling pipeline benefit from one program that sets uniform terms and a single claims path. If many trades overlap on high-hazard scopes (steel, envelope, cranes, deep MEP) or sub insurance looks uneven, a wrap brings order. CM-at-risk or GMP deals also fit well because credits and program costs sit cleanly in the budget. For experienced GCs, a CCIP can make sense near $5–10M if the team can run enrollment, audits, and closeout without slowing the build. When one adjuster, one framework, and consistent limits matter, that is how wrap-up insurance works best — and where the practical benefits of wrap-up insurance show up on schedule and cost.

Skip a wrap when the scope is small or fast, most exposure sits off-site, or the sponsor can’t staff administration. In those cases, individual placements often beat construction wrap-up insurance on effort and price.

Contact Kavana Insurance to get wrap-up insurance for your business

Share your plans, bid timing, and scope. We’ll build a project-specific OCIP vs CCIP comparison that highlights potential cost savings plus risk gaps. Our team structures construction wrap-up insurance with precise site boundaries, clear enrollment rules, a single claims path, and coordination with builder’s risk and state WC requirements. If you’re weighing wrap-up insurance for contractors or an owner-sponsored model, reach us through our contacts page for options, timelines, and the insurance credits to reflect in bids.