OCIP Basics

An Owner Controlled Insurance Program (OCIP), often referred to as a "wrap-up", is a single insurance program purchased by the owner (Sound Transit) to cover its project participants for their activities relating to the construction project (Sound Move Regional Transit Construction Projects). Project participants can include contractors, consultants, and their respective subcontractors. The OCIP provides project specific insurance coverage, and generally includes the following:

Commercial General Liability Employers Liability Umbrella/Excess Liability Pollution Liability Professional Liability Builder's Risk Railroad Protection Liability

Business Auto Liability is not included in the OCIP due to the substantial off-site exposures.

The OCIP covers exposure at the project site for:

• The owner's liability arising from construction
  
• Third Party Liability coverage for participant's arising from construction and construction related activities, which may include construction management, project design, consulting, etc.

The OCIP does not cover:

• Vendors and Suppliers
  
• Delivery Persons
  
• Off-site fabrication or manufacturing
  
• Work performed on other projects that are not part of Sound Move Regional Construction Projects

Advantages of an OCIP:

• Enhanced loss control services. The OCIP provides a single, coordinated loss control program, tailored to the specific needs of the project.
  
• Enhanced job-site safety
  
• Centralized Claims Management. A centralized claims management program reduces claim-handling costs and is more responsive to claims occurring on the project site. Local claim representatives from one insurance company can process claims more efficiently than claim representatives from multiple insurers. Litigation, claim disputes, and subrogation among contractors and other insurers are reduced and often eliminated.
  
• Participant Cooperation. Bringing participants together in the spirit of cooperation, provides for a safer job site, increased measures of control, and increased overall success of the project.