Why Insurance and Risk Management Matter in Construction

I recently had the privilege of sitting down with Rocio Luna, a commercial insurance broker who specializes in lowering EMRs and helping construction companies get their insurance and risk management in order. What struck me immediately about Rocio was not only her knowledge but also her attitude and determination. She brings a tenacity and calmness that makes her exactly the type of professional you want on your side when things get difficult.

As someone who has been around many professionals in the industry, I have learned how important it is to surround yourself with people who truly understand construction. It is one thing to know insurance in general, but it is another to know what contractors face, what project managers deal with daily, and how claims can suddenly change everything. Rocio comes from the ground up, starting as a claims assistant and eventually building her way to becoming a trusted broker and consultant. That background gives her a unique perspective because she has seen the chaos firsthand and knows how to navigate it.

We talked about insurance in a way that was simple and practical. Rocio broke down the key coverages every construction company needs to understand: general liability, workers compensation, commercial auto, umbrella coverage, and builders risk. Each of these plays a role in protecting the business, the employees, and the future of a company. I appreciated how she explained them with everyday examples. For instance, general liability is there to cover a third-party injury, like a UPS driver slipping in your office. Workers comp protects your people when accidents happen on the job. Umbrella coverage steps in when limits are maxed out. Builders risk, on the other hand, covers a project while it is actually being built, not afterward. These simple explanations helped me see not only the technical side of insurance but also why the limits matter and why carrying proper coverage is non-negotiable.

One part of our discussion that really stuck with me was about risk management consulting. Rocio shared how many companies fail to respond quickly when accidents happen because they do not have a clear plan in place. When there is no process, claims are delayed, documentation gets missed, and problems get worse. Her consulting focuses on building standard operating procedures, making sure staff know exactly what to do, and ensuring every step is handled properly. That is what keeps EMRs low, premiums manageable, and companies out of unnecessary trouble.

I also admired her approach to connecting with people. She does not spam, push, or play games. She adds value, educates, and builds trust. That alone is refreshing in a world where we are all bombarded with cold calls and templated messages.

For me, this blog is not just about sharing what I learned from Rocio. It is also about emphasizing that we cannot afford to take insurance lightly. Construction is risky. Projects are expensive. Lives and livelihoods depend on the protections we set up in advance. Having the right coverage and the right team can make the difference between a temporary setback and a devastating loss.

Key Takeaway
Having the right insurance coverage and risk management procedures in place is not just a formality. It is the foundation for protecting your people, your projects, and your company’s future, and it begins with professionals who understand construction.