This month in the National Association for the Remodeling Industry newsletter, Karl Sivlerberg, the association’s general counsel provides an overview of the Scaffold Law and its impact on New York construction businesses.
…there has been a buzz in the construction industry recently over New York State Labor Law § 240, commonly known as the Scaffold Law, and Labor Law § 241. Various contractor trade groups are calling for New York State to repeal Labor Law §§ 240 & 241. The recent action is the result of escalating insurance costs to cover Labor Law §§ 240 & 241 claims.
Contractors are facing a threefold hit respecting these costs. First, recent large damage awards to injured workers have increased insurance premiums. Second, higher awards require contractors to carry higher limits. Third, there is word that certain carriers have left the market, thus decreasing competition.