Are Wrap-up premiums less than prime contractor premiums plus mark-up?
A. Sometimes. Generally, large regional and national contractors pay very small increases in their existing premiums to add coverage for another project. Consequently, even when those amounts are marked up for profit, the cost included in a large contractor’s bid on a non-Wrap-up job may be less than a smaller contractor’s bid for the same work.
Related Questions
- WHAT IS THE RELATIONSHIP BETWEEN PAYMENTS BY THE CORPS TO THE PRIME CONTRACTOR AND PAYMENTS TO SUBCONTRACTORS BY THE PRIME CONTRACTOR?
- Do I as a potential prime contractor have to obtain a bid bond in order to bid on MSDGC projects?
- Are sub contractor signatures required on the PQQ submission as well as Prime?
