FEBRUARY 2026

Project risk & profitability in focus

Construction & design market update

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Economic and policy trends drive many construction and design industry business risks, from labor to material costs to spending on projects. In turn, financial pressures — including labor shortages, turnover, and inexperienced skilled labor — can translate into jobsite injuries and third-party liability (construction defects, design errors or omissions, bodily injury, and property damage).

What can the construction sector expect to see in 2026? What risks will be prevalent? How can companies prepare to mitigate risks in the coming year?

Our Construction & Design Market Update examines these questions, considers others, and offers insights from Lockton’s construction and design specialists.

Contents


01 Overall industry conditions & outlook

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04 Residential

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07 Contractor’s pollution liability (CPL)

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10 Subcontractor default insurance (SDI)

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13 Contract surety

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02 Casualty

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05 Architects & engineers professional liability (A&E)

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08 Builder’s risk

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11 Executive risk

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14 Conclusion & contacts

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03 Controlled insurance programs (CIPs)

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06 Contractor’s professional liability

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09 Marine cargo/logistics

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12 Cyber

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