Minimizing Drone Risks on a Construction Site€¦ · Mr. Fucentese joined Liberty Mutual in 2003...

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WORKSHOP T2

Tuesday, November 810:30 a.m.–12:10 p.m. and 2:20 p.m.–4:00 p.m.

MINIMIZING DRONE RISKS ON A CONSTRUCTION SITE

Presented by

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Cindy DePraterVice President,

Corporate Director Environmental Health and Safety

Turner Construction

Aldo FucenteseVice President,

Division Underwriting Manager Liberty Mutual Specialty—

Construction

Michael MillsTechnical Director for

Construction and EnergyLiberty Mutual Insurance

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Drones may not be as prevalent at job sites as hammers and hardhats, but theyundoubtedlywill be before too long.Owners and contractors are increasingly usingtheseunmannedaircraftsystems(UAS)tokeeptabsonconstructionprogress,inspectwork, and even gather data for ongoing 3-Dmodeling.When regulations that allowwidespread use of drones for commercial purposes are approved, the number ofdroneshoveringoverconstructionsiteswill increaseexponentially.Thissessionwilloutline current regulations for UAS, potential risks, and best practices for avoidingincidents and claims. Insurance options for transferring these risks will also bereviewed.Toprintonbothsidesofthepage,setyourprinterforduplexprinting.
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opyright © 2016 International Risk Management stitute, Inc.

www.IRMI.com

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Notes

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Cindy DePraterVice President, Corporate Director Environmental Health and Safety

Turner Construction

Ms.DePraterisvicepresidentandcorporatedirectorforenvironmentalhealthandsafety(EH&S)at Turner Construction, where she is responsible for Turner’s EH&S activities worldwide andleadsastaffofover200safetyprofessionals.Sheisresponsibleforanalyzingtheorganization’scriticalEH&Srequirements,identifyingissuesandpotentialopportunities,anddevelopinginno-vativesolutions.ShehasformedstrongsustainablerelationshipswiththeOccupationalSafetyandHealthAdministration(OSHA),theNationalInstituteforOccupationalSafetyandHealth(NIOSH),andothergovernmentalagenciesandsitsonseveralnationalcommitteesandadvisoryboardsthatinfluenceandimpactlegislativeactionforworkerhealthandsafety.Ms.DePraterisagraduateofOklahomaStateUniversity,hasnumerouscertificationsandlicenses,andholdsthedistinctionofregisteredAssociateofLossControlManagement(ALCM)fromDetNorskeVeritas.Sheisa frequent,recognized,andrequestedspeakeronthesubjectofenviron-mentalsafetyandhealthatconferencesnationwide,aswellasaguestlectureratseveraluniversi-ties.Aldo Fucentese

Vice President, Division Underwriting Manager Liberty Mutual Specialty—Construction

Mr.Fucentese joinedLibertyMutual in2003andcompleted thecompany’scorporatedevelop-ment program, working for both commercial and personal lines. He has overall underwritingresponsibility for national account contractors and for wrap-up and project-specific casualtyinsuranceprogramsacrosstheUnitedStates.Mr.Fucenteseholdsamechanicalandnavalengineeringmaster’sdegreefromtheUniversityofGenoaandanMBAfromBostonUniversity.HeisalsoaProfessionalEngineer(PE)andearnedtheCharteredPropertyCasualtyUnderwriter(CPCU)designation.HeisagraduateoftheItalianNavalAcademyandheldseveralpositionsasaNavyofficerinactivedutyfor14years.

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Michael MillsTechnical Director for Construction and Energy

Liberty Mutual Insurance

Mr.MillsistechnicaldirectorforconstructionandenergyatLibertyMutualInsurance,wherehementorsandtrainsLibertyMutualRiskControlServicestechnicalconsultantsinsafetyandriskmanagementanddevelopsresourcesoncriticalindustrytrendsandinitiatives.Inthisrole,hecol-laborateswithpolicyholderstoreducetheirrisk,andhehasplayedaleadershiproleinsettingriskqualitystandardsforLibertyMutual’sconstructionbusiness.Mr.Millshasbeenactiveonvarious consensus standards (such as theANSI/ASMEB30SafetyStandardsCommitteeforCableways,Cranes,Derricks,Hoists,Hooks,Jacks,andSlings),servesasthechairmanfortheANSI/ASMEP30.1PlanningforLoadHandlingActivitiesCommittee,andhasbeenanactivememberofmanyB30committees.Hegraduated fromChaminadeUniversityofHonoluluwithadegreeincomputerscience,isaCertifiedSafetyProfessional(CSP)incomprehen-sivepractice,andhashisAssociateinRiskManagement(ARM)andConstructionRiskandInsur-anceSpecialist(CRIS)certifications.

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Minimizing Drone Risks on a Construction SiteMichael MillsTechnical Director of Construction, Liberty Mutual InsuranceCindy DePraterVice President, Environmental Health and Safety, Turner Construction CompanyAldo FucenteseDivision Underwriting Manager, Liberty Mutual Insurance

EDUCATION | CONNECTION | OPPORTUNITY

2IRMI Construction Risk Conference

Learning Objectives

Have a clearer understanding of the risk factors

involved in UAS use.

Be able to develop a basic UAS

safety procedure.

Understand how to prepare for

UAS use on a construction site.

Effectively reduce your risk through

different insurance mechanisms

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Drone Use in Construction

Stock Piles

Job Progress

Accident Investigation

Power Lines

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Drone Use for Commercial Purposes

Register the drone

Remote aircraft pilot certificate

Follow the FAA regulations

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Final Rule Highlights

• Operated Safely

• Preflight Inspection

• Preflight Briefing

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Will you Allow the use of Drones?

CORPORATE DECISION

When?Why?

If so how?

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UAS Safety Triangle


UAS Safety Procedure

Responsibilities, Client, Contractor

Privacy Considerations

General Public Protection

Worker Protection

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Flight Path Planning

Visual Observers

Inspection, maintenance

Prohibitions

SAMPLE PROCEDURE



Project Responsibilities

Risk Assessment

Safety Requirements

SAMPLE PROCEDURE

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Preflight Assessment Sample

Task HazardExistingControls

NewControls

NewFrequency

NewLikelihood

NewSeverity

Drone flight near Structure

Drone my strike the structure

Preflight InspectionRisk AssessmentPilot Certificate

Cover and protect sensitive equipment and vulnerable process vessels

Highly Frequent

Low Likelihood

Medium Severity

Drone flight near workers

Struck by Falling Drone

Site Plan with flight Path delineated

Barricade flight pathHold a special tool box meeting with workers

Highly Frequent

Low Likelihood

MediumSeverity


Drone Risk Assessment

Pilot Condition

Weight and Balance

Center of Gravity

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Drone Risk Assessment

Work zone boundaries

Training for Personnel

Unique client site issues

SAMPLE PROCEDURE

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Drone Contingency Plan

Communication

Low Battery

Emergency Landing


What can go wrong with a Drone?

• Child loses an eye in Worcestershire, UK

• 5 Spectators Injured in Virginia

• Drone crashes on the Empire State Building

• Drone lands on the White House Lawn

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Drones Operational exposures

Third-party BI and PD

Violation of another’s rights

Cyber

Contractual Liability

First party

Product Liability


Insuring Unmanned Aircraft Exposures

• No mandatory liability coverage is currently required by law

• Comprehensive general liability (CGL) policy

• Aviation/ drone policy • Liability coverage • Hull coverage & video/photographic equipment

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Issues to be aware of

• ISO CGL policy is inadequate to provide UA coverage

• Broader or narrower coverage can be achieved by adding UA liability endorsement(s).

• Many carriers refer coverage back to FAA rules

Copyright © 2016 International Risk Management Institute, Inc.

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Hull coverage

First-party property exposure

Not provided by standard first party policies

10% deductible and 10% premium

Self-insure?


Hiring the Right Drone Vendor/Contractor

Insurance

Flight Operations Manual

Risk Analysis Form

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Hiring the Right Drone Operator

Pilots Qualifications

Hours of Flight

Training


Hiring the Right Drone Operator

Sample Preflight Inspection

Maintenance Requirements

Sample Preflight Briefing

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Resources

Federal regulations on drones: https://www.faa.gov/uas/

Federal Guidance on Privacy: http://www.ntia.doc.gov/files/ntia/publications/voluntary_best_practices_for_uas_privacy_transparency_and_accountability_0.pdf

E-learning Site for Drones:https://www.faasafety.govhttp://unmannedsafetyinstitute.org/


Q A&

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Notes

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Minimizing Drone Risks on a Construction Site€¦ · Mr. Fucentese joined Liberty Mutual in 2003...

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