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The new 3rd edition of Nael Bunni’s Risk and Insurance in Construction, now co-authored with Lydia Bunni, explains the need for insurance in construction and engineering projects and why it must be incorporated into the Conditions of Contract for such projects. It is unique in bringing together the background of the two topics of "Risk" and "Construction Insurance", explaining the flow and the interaction between them and then dealing with how they have been used to formulate the 2017 FIDIC Suite of Contracts and the 2021 Green Book.
This edition is fully updated and new chapters deal with the latest definitions of "Risk" outlined in ISO 31000: 2009 and specifically explains the principles embodied in the new Clauses 17, 18 and 19 of the Major Suite of the FIDIC Forms of Contract and how they should be used. An important chapter is included discussing the logical transition from decision making to risk identification to responsibility for those allocated with particular risks, to the potential liability that results. This includes discussing particular liabilities that may arise for parties typically involved in construction and engineering projects, including developers, owners, contractors and designers. This part of the book links insurance to the law and explains the interaction between the two topics. The correlation between liability and the need for indemnity, which can only be provided properly through insurance, is highlighted.
The book is essential reading for practitioners from both the engineering profession and the insurance industry in all types of projects. Engineers who are required to use one of the Major Forms of the FIDIC Suite of Contracts, whether they are designers or contractors, and those involved in the insurance sector, whether brokers, claim consultants or insurance company personnel, will find this book to be an indispensable reference.
