Some companies sign exclusive-supplier contracts in exchange for cost savings and quicker turnaround times. Copies of their engineering reports can yield clues to their level of protection. In some cases, it may be prudent to insist that copies of proprietary drawings be put in a safety deposit box to be accessed if a supplier cannot perform its obligations. Some companies cut costs by slashing budgets for housekeeping and safety and hiring contractors to do the job for less. Studies show contractors have been a significant part of insured losses from every type of peril, especially fire, sprinkler, leakage and water damage.
Some contractors are less vigilant than employees.
Some contractors perceive their tasks are considered less important by management, a perception reinforced if their work is not monitored by company supervisors. Safety records are as important as references. This is the right to collect damages from third parties responsible for losses. Some contractors offer lower-priced contracts in exchange for a liability waiver. This may seem to make sense, but it can mean facing legal and financial consequences for a loss alone, including the insurance deductible.