Allianz releases paper on water damage and construction risk

Water damage is the most common type of loss occurring during the course of construction, according to Allianz Global Corporate & Specialty (Americas), which has issued a White Paper on how to manage exposure in this area.
The White Paper, Preventing Water Damage: What Risk and Construction Project Managers Need to Know, suggests two complementary risk management measures for mitigating exposure to water damage during construction projects.
“A best practices program for water damage prevention must include two parallel tracks,” the white paper states.
“First, general program measures must be instituted at the corporate level to create a culture of risk management and continuous improvement, as well as to provide a planning and response structure that is easy and cost-effective to implement with any new project.
“Second, project-specific measures must be put into place to supplement the corporate-level program and address individual project requirements. The project-specific program ensures that all subcontractors are implementing and coordinating procedures for water damage prevention and that rapid response plans are in place to address any issues.”
The paper lists the most common causes of water damage, including (among others):
• building envelope defects, including deficiencies in doors, windows, exterior walls, roofs, gutters, flashings and waterproofing systems;
• failure of plumbing, hydronic, drainage, fire protection or other systems;
• site or subsurface drainage problems, including insufficient dewatering, inadequate retention ponds and improper drainage; and
• foundation and structural element defects, including cracks or fissures in waterproofing structures, separation of building envelope elements, flooded or undermined excavations and premature or excessive loading.