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The cost of utility damages has risen immensely in the past few years, and so has the price of these mistakes made by field service companies. Facility owners have invested money into software and procedures that hold these companies accountable for every possible cost of the damage. Truth be told, there’s additional costs beyond the physical utility damage.

Labor Deficiency

Damage to a utility usually occurs mid-day, waiting for the repair and halting all production. You can’t always rely on sending crew members to other parts of the project. Determining how long a repair will take is unpredictable, and sending your workforce home is too risky. Your overall labor efficiency is in danger of being compromised.

Unused Equipment

The equipment used by the crew is also at a standstill when damage occurs. Unlike crew members, it is not easily moved to another project or segment. When equipment is not being utilized it serves no purpose and resources are wasted.


After hours of researching and bidding a project, do you add in the cost of a utility damage? If you’re on a tight budget and schedule and haven’t yet done so, the time spent sitting on the project could kill your profitability.

Losing your Clients

Recently there’s been expectation for contractors to uphold a positive rating of at fault damages. The stakes are high for the future of the excavation industry. Think of it like a YELP review: the fewer the stars of your company, the lesser the chance that people will choose it. If you cannot get on a bid list because of your history of at fault damages, this could cost you opportunities to successful projects.

Potential Lawsuits

If the damage claim moves to litigation, you may assume the insurance company will defend you. Although this may be the case for more catastrophic damages, watch out! You may need to defend your company independently for smaller damages.

Costly Insurance Rates

Speaking of insurance, what’s your deductible? That’s an additive cost any- time you submit the claim to your insurance company, and your rates may increase as well. In the event of larger or multiple claims, the chances that the insurance company will drop you for future coverages is pretty high.

This article is from which offers free simple job site checklist and an easy-to-use utility damage investigation format // .