Airport operator BAA is to use project-based insurance for its Terminal 5 project at Heathrow.
Insurance provider Zurich is understood to have seconded two engineers to BAA鈥檚 project team to advise on risk.

BAA said the move would mean that, rather than the suppliers and contractors on Terminal 5 getting their own insurance, BAA would draw it all together.

鈥淚t鈥檚 consistent with our partnering approach, and it鈥檚 cost-effective,鈥� it said.

Sir John Egan, former chairman of the strategic forum and chief executive of BAA, welcomed the move, which he recommended in his Accelerating Change report, the follow up to Rethinking Construction published in September.

He said: 鈥淚鈥檓 hoping that fully integrated team planning will encourage the insurance industry to insure the product.鈥�

Zara Lamont, chief executive of the Confederation of Construction Clients, backed the decision. She said: 鈥淭he key will be to demonstrate to insurers that an integrated team works.鈥�