A subcontractor's employee was hurt on a Midtown Builders job site, with property damage on top of the injuries. When Midtown went to file a claim, they found the subcontractor's insurance policy had expired. That left Midtown liable for the damages.
“APARBooks has taken the stress out of managing subcontractor insurance. With everything in one place, we can finally be confident that we're covered and compliant, without spending hours hunting for paperwork.”
— Midtown Builders
About the company
Midtown Builders is a general contractor doing commercial construction across the Midwest. With more than 20 active subcontractors on each project, handling electrical, plumbing, HVAC, and other specialized work, the company depends on its subs. Given how much risk construction carries, keeping every subcontractor's insurance documentation current is critical, and with that many documents, staying compliant was a constant struggle.
The challenge: no way to track insurance status
The on-site accident brought the problem into focus. Midtown had no simpler way to track each subcontractor's insurance status, so the team was always catching up, spending hours a week hunting for paperwork and chasing missing documents. Without a central system, a lapsed policy could go unnoticed until it mattered most, and the compliance exposure could hit the bottom line.
The APARBooks solution
With APARBooks, Midtown Builders got an organized system for subcontractor insurance documentation. Each policy is stored under the subcontractor's profile, so any document can be located in seconds. Centralizing the records means the team can pull up what they need on any project and confirm coverage quickly.
The results
Midtown cut the time spent managing insurance documentation by 90% and removed the risk of being blindsided by a lapsed policy. Project efficiency improved too, since the team no longer has to pause work to verify coverage. Midtown estimates the system has prevented potential liability costs of more than $50,000 a year.
Frequently Asked Questions
Why is a GC liable when a subcontractor's insurance has lapsed?
If a subcontractor's policy has expired at the time of an incident, there's no coverage to file against. The general contractor is left responsible for the injuries and property damage, as Midtown Builders was after an on-site accident.
How does APARBooks track subcontractor insurance?
APARBooks stores each subcontractor's insurance documents under their profile, so any policy can be found in seconds and coverage can be verified before work proceeds. Centralizing the records replaced hours a week of hunting for paperwork.
What did centralized insurance tracking save Midtown Builders?
A 90% reduction in time spent managing insurance documentation and an estimated $50,000 a year in prevented liability costs, plus fewer work stoppages to check coverage.
Built for Contractors. Built for Construction Accounting.
APARBooks is purpose-built construction accounting software for general contractors and bookkeepers. Manage job costing, AIA progress billing, subcontractor payments, retainage, change orders, lien compliance, and WIP reporting in one place.
