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📋 '''Wrap-up insurance program''' is a consolidated [[Definition:Insurance policy | insurance policy]] arrangement in which a single party — typically a project owner or general contractor — purchases coverage that blankets all participants involved in a large construction or infrastructure project. Rather than requiring each [[Definition:Subcontractor | subcontractor]], vendor, and contractor to carry separate [[Definition:Commercial general liability (CGL) | commercial general liability]], [[Definition:Workers' compensation insurance | workers' compensation]], and other project-related policies, a wrap-up centralizes these coverages under one master program. In the insurance industry, wrap-ups are sometimes called controlled insurance programs (CIPs) and come in two main forms: owner-controlled insurance programs (OCIPs) and contractor-controlled insurance programs (CCIPs), depending on which party sponsors and administers the coverage.

⚙️ The sponsoring party works with a [[Definition:Broker | broker]] or [[Definition:Risk manager | risk manager]] to design the program, negotiate terms with one or more [[Definition:Insurance carrier | insurance carriers]], and enroll every eligible party working on the project. Enrolled participants are added to the program's [[Definition:Certificate of insurance (COI) | certificates of insurance]], and their individual policies for the covered lines are typically excluded or endorsed to avoid duplication. [[Definition:Claims management | Claims management]] is handled centrally, which helps maintain consistent [[Definition:Loss control | loss control]] standards and streamlines the [[Definition:Claim | claims]] process. The program's [[Definition:Premium | premiums]] are often based on total project payroll or contract values, and the sponsor may benefit from [[Definition:Experience rating | experience rating]] or retrospective adjustments that reward strong safety performance across all participants.

💡 For insurers, wrap-up programs represent significant premium volumes tied to a single, well-defined risk exposure — making [[Definition:Underwriting | underwriting]] discipline and [[Definition:Risk assessment | risk assessment]] especially critical. Because the sponsor controls safety protocols and claims reporting site-wide, [[Definition:Loss ratio (L/R) | loss ratios]] can be more favorable than they would be under fragmented individual policies, though a single catastrophic event can produce outsized losses. Wrap-ups also reduce coverage gaps and disputes over which party's policy responds to a given incident, a persistent problem on multi-party projects. From a market perspective, these programs are a key product line for carriers and [[Definition:Managing general agent (MGA) | MGAs]] that specialize in construction insurance, and their complexity often demands sophisticated [[Definition:Policy administration system | policy administration systems]] capable of tracking enrollment, audits, and multi-line exposures in real time.

'''Related concepts:'''
{{Div col|colwidth=20em}}
* [[Definition:Owner-controlled insurance program (OCIP)]]
* [[Definition:Contractor-controlled insurance program (CCIP)]]
* [[Definition:Commercial general liability (CGL)]]
* [[Definition:Workers' compensation insurance]]
* [[Definition:Builders risk insurance]]
* [[Definition:Certificate of insurance (COI)]]
{{Div col end}}

Definition:Wrap-up insurance program - Revision history

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