Subcontractor Default Insurance

A policy purchased by a general contractor that covers financial loss when a subcontractor fails to perform its contractual obligations due to insolvency, abandonment, or termination for cause. On large tower build programs, SDI protects the GC from schedule delays and replacement costs when a tower crew defaults mid-project. Unlike surety bonds, SDI is controlled entirely by the GC and does not require subcontractor cooperation to make a claim.