Contractor's All Risk Insurance

Contractor's All Risk Insurance

Features & Benefits

Requirements
Civil engineering projects like buildings, bridges, dams, roads, etc. require huge capital investments and involve high risk of loss or damage. There may be accidents, natural disasters or unexpected happenings which can cause physical damage to the project, subsequently putting the responsibility for loss or damage on the contractor. This is where our Contractor's All Risks Insurance comes to your aid.

Benefits
The Contractor's All Risks Policy will cover any damage or loss to a civil engineering project thereby nullifying the risk of heavy losses. Cover is not a named peril policy but an all risks cover, which means that it provides cover in the event of any loss or damage to the insured property unless caused by exclusions in the policy. This all risk policy that protects the interests of all the parties participating in the project, such as the principal, contractors, sub-contractors and financiers. Additionally, it will also protect the construction materials during storage and construction.

Sum Insured
The sum insured should be the total project contract value together with the estimated cost of labour and construction materials.

Premium
The premium amount paid by the insured will depend on the type, value and duration of the project.

Coverage

Eligibility
You are entitled to use this insurance policy if you are involved in a civil engineering project as a contractor, subcontractor, financier, or the purchaser or owner.

Policy Inclusion
Contractors All Risk Insurance covers all risks normally associated with a construction project. The policy will provide cover against sudden and unexpected physical loss or damage to the insured property. This policy covers accidents and natural perils both while building materials are in storage and actively being used in construction, unless specifically excluded.

The policy cover begins with the start of the project, from the time the first material consignment is unloaded at the project site and ends when the project is finished or handed over to the purchaser or owner.

The policy cover can be extended to cover the following risks, upon paying an additional premium
Escalation
Maintenance
Clearance and removal of debris
Damage to the owners surrounding property
Third party liability
Additional customs duty
Express freight
Holiday and overtime rates and wages
Earthquake
Terrorism

Policy Exclusion
This policy has named excluded perils or specific risks which will not be covered under the policy.

The policy exclusions/risks are:
War and nuclear events
Willful acts
Work cessation
Inventory losses
Wear and tear