Rising Costs and Labour Shortages Impact Insurance Claims Processing in 2026

Tim Butler, Head of Contractor Connection and CRD at Crawford & Company, noted that while the market is not chaotic, tight capacity and rising complexity are driving up costs. He highlighted that the repair market is a small segment of the broader construction sector, meaning many cost pressures are macroeconomic and beyond insurers' control.

For construction businesses, this environment underscores the importance of comprehensive insurance coverage and proactive risk management strategies. By understanding and addressing these challenges, companies can better navigate the evolving landscape of insurance claims and maintain operational resilience.