Post-Grenfell - What's next for insuring fire safety risks -

Insurer Confidence Those cracks brought about by the damning evidence given to the inquiry in recent months impact both the broader construction industry and, specifically, in matters relating to fire safety. Bear in mind that it is not two years since Dame Judith Hackitt wrote that construction, particularly the construction of high-rise and complex buildings, was beset with problems and was suffering a “system failure” which included: – ignorance of the regulations and guidance on the part of those who need to understand them – indifference to delivering quality and the prioritisation of doing things as “quickly and cheaply as possible” Marina Torch and The Address in the UAE, there are at least a dozen reported fires of a similar type. Despite many of these being very significant fires often on very tall buildings, none caused the number of fatalities as we saw at Grenfell. Press reports indicate that these four major fires caused two deaths. Whilst two deaths are two too many, a key question for the Inquiry is: what was different about Grenfell that led to such an unprecedented number of fatalities? It can be hoped that the heavily disrupted inquiry will answer this question and many more. From what we know, it is unlikely that any single failure gave rise to Grenfell. As the Inquiry’s terms of reference recognise, the failures which resulted not only in the rapid development of the fire, but also the large loss of life, were likely caused by the systemic failures of more than one system. These failures are likely to include problems with design and construction, yes, but it will very probably go beyond that. One such area that is likely to come under scrutiny again will be the way in which projects are procured. Our dialogue with clients shows that the procurement of a façade is a microcosm of the wider problems in the construction industry. The fragmentation of design and construction responsibility is all too apparent in this small sector. ‘Interface risk’ is rife. But the problems go beyond interface risk. Recent evidence given to the inquiry paints a much bleaker picture, particularly in respect of certain manufacturers of building products, where some extraordinary evidence has been heard about poor and, on the face of it, misleading practices. It’s safe to say that the cracks in insurer confidence in the construction industry are growing.