Theft at construction sites continues to be a major problem for contractors across the United States, costing the industry up to $1 billion each year. Tools, equipment, and materials left unsecured are prime targets. Losing these items not only drives up costs but can also slow down projects and harm a company’s reputation.
Damien Hayden, a loss control specialist at Central Insurance, says theft is very common in construction. While the damages are usually smaller compared to other losses, these thefts happen frequently. “It will happen if you don’t protect yourself against it,” Hayden explains.
Fortunately, there are proven ways contractors can cut down theft risks. Hayden shares six practical tips to help keep construction sites safer.
The first step is controlling who gets into the site. An open construction area is like an open invitation for thieves. Hayden recommends surrounding sites with secure fencing, such as chain-link or anti-climb wire panels, and keeping only one locked gate after hours. Posting clear signs stating “No Trespassing” or “Authorized Personnel Only” also helps send the message that the site is watched.
Next, good lighting is crucial. Bright lights around entrances, storage spots, and equipment yards make it harder for thieves to hide. Hayden suggests using fixed lights as well as portable or solar-powered floodlights for remote sites. Walking the site at night to spot dark corners that need extra light can make a big difference.
Keeping track of all tools and equipment comes third. Many sites lose items simply because no one knows exactly what they have. Logging serial numbers, tagging equipment, and taking photos helps identify missing pieces quickly. For larger machines, GPS trackers can pinpoint stolen items fast. Digital inventory tools that update across teams can also improve accountability.
Storing materials wisely is another key move. Valuable raw materials like copper and lumber should be locked up in containers or tool cribs. Placing these storage boxes near lights and cameras, using strong locks, and regularly changing combinations keeps items safer. Having one person in charge of keys ensures better control.
Vetting workers and subcontractors is often overlooked but very important. Not all thefts come from outside the fence; some happen because insiders take advantage of their access. Conducting background checks or checking references on new hires can help spot risks early. Setting clear rules about theft prevention and pairing new workers with trusted supervisors also reduces problems.
Finally, working with an experienced insurance partner offers extra protection. Central Insurance, for example, has a team focused on construction that helps contractors with loss control on-site. These experts walk the job locations, advise on improvements, and educate crews on what to watch for. When everyone understands the risks and how to report suspicious activity, it builds a stronger defense against theft.
While no approach can guarantee complete security, using these strategies together can greatly reduce the chances of theft and keep projects moving forward smoothly. Contractors are encouraged to reach out to their local insurance agents to learn more about tailored protection and loss prevention services.