Risk in construction is defined as a variable in the process of construction whose occurrence results in uncertainty as to the final cost, duration and quality of the project. Risk is inherent in all human endeavours, including construction activities, and the risk factors involved are diverse and varied.

Using a checklist of risk factors, the study conducted a questionnaire survey of the identified risk factors in order to determine their relative importance. The questionnaire survey was self-administered on construction practitioners in contracting organisations, consultancy firms and government organisations involved in construction.

The survey result showed that the major risk factors inherent in construction are financial, political and physical. On the other hand, the regression model showed that financial risk resulting in fluctuation claims, variation and loss and expense claims are contributory to construction cost overrun, which is an indication of risk impact on construction cost.