Despite a recent rebound in the sector, losses remain frequent due to many construction companies still working on low margin legacy contracts taken on during economic downturn.
Trailing effects of the recession are still affecting the construction sector where companies tendered at margins that are no longer sustainable, due to price increases in both raw materials and labour.
Subcontractors in particular are feeling the pain with the legacy of these fixed price contracts as Tier 1 contractors delay payment. Observing the supply chains involved in construction contracts we have seen a significant increase in insolvencies in the specialist and finishing trades such as mechanical & electrical and roofing & cladding.
The peace of mind that a Construction Credit Insurance policy provides, together with a gateway to skilled risk analysts who specialise in Construction, could prove an invaluable addition to your existing credit management processes. The access to up to date credit information from both within the UK and overseas always ensures that you are trading not only on reputation, but with the knowledge that insurers know and have met with your major customers.
Acumen Credit Insurance has the expertise to tailor products to meet your individual needs, recommend the most appropriate insurer and address those issues which uniquely affect businesses trading in the Construction and allied sectors.