21 - Contractor Management

Ensuring the safety of Contractors on site is an important activity in controlling premises liability losses. The manager/owner of a property (especially an industrial or commercial operation) owes a "duty-of-care" to provide a safe workplace for contractors who are working on the site. Ensuring that contractors follow site safety guidelines or have their own approved safe work procedures, is an important part of managing this exposure. Confined spaces, open pits, falls from heights, electrocution and vehicle impacts are common causes of injuries to contractors.

What do we look for?


  • Many occasional contractors.
  • Contractors working unsupervised.
  • No Contractor Safety Program.
  • No checking of qualifications/licenses/certifications, etc.
  • No checks for valid 3rd party Liability Insurance.


  • No, to few occasional contractors.
  • Contractors always supervised.
  • Formal Contractor Safety Programs.
  • Formal procedure for verifying qualifications, licenses, certifications, etc.
  • Formal procedure for verifying 3rd party Liability insurance coverage.

  • Implement a comprehensive Permit-To-Work system that applies to contractors as well as employees. Permits should cover hot work, confined spaces, elevated work, electrical, gas etc.

  • Irregular or once-off contractors should be closely supervised by a suitably qualified employee.

Useful Resources