THE RIGHT BUILDING BLOCKS FOR YOUR INSURANCE COVER
The construction industry is a substantial and varied one and over the years insurers have developed a wide range of products to protect property owners, contractors and third parties. Cover can be arranged for any type of project, ranging from minor alterations to existing property, installation of machinery, or large-scale industrial projects.
The majority of policies issued are as Contractors All Risk, typically issued for one-off projects involving demolition and construction of residential or commercial premises. The policy provides protection to the principal and contractor against accidents during construction works which result in damage to the project itself, and also protect all parties concerned against liability to third parties should an accident involve damage to neighbouring properties, or injury to third parties.
This policy can be extended to provide insurance for damage to construction machinery being used on site, and is often extended to cover damage to own surrounding property (belonging to the principal) where the works involve part of a larger premises. For projects involving the installation of machinery, an Erection All Risks policy is issued. Cover is similar to that of a Contractors All Risks policy.
Contractors can also buy an annual policy to cover all their projects throughout the year, subject to pre-agreed values and limits. This is more cost-effective than taking out individual policies for each project.
Advanced Loss of Profits Insurance can also be considered for industrial construction projects, to cover loss of profits for delays in start-up following an insured loss.
The best way to understand the insurance cover that you require is to discuss this through with us. You can contact us by clicking here.