Construction All Risk Insurance
Effective cover for your projects
Construction sites present a high risk to developers and contractors with countless potential problems that can result in financial liability, as well as cost to reputation.
At Howden, our experienced brokers will work with you to arrange the right specialised cover for your projects. We will make sure your cover effectively protects you from a variety of risks both on and off site, from contractual problems to liability claims and court proceedings.
What is Constructors All Risk insurance?
‘All risk’ insurance gives you carefully worded cover to provide peace of mind around the wide range of risks faced by construction companies. All risk insurance covers against loss or damage to the contract works caused by:
- Accidental damage
- Natural perils
- Basement and substructure construction works
- Design errors (consequential damage only)
- Testing and commissioning
- Legal liability for injury to third parties or damage to third party property
What does Builders’ All Risk cover?
A Builders’ All Risks insurance policy wording should contain a combination of cover around the following elements:
- Contract work insurance that covers structures and materials associated with the job in the event of damage
- Professional fees covers the cost of consultants required to help rectify damage to contracted works, such as architects or surveyors
- Third-party liability protects you against claims made in the event of accidents or damage to property.
- Environmental liability will cover the costs of cleaning up after an accident that pollutes land, air or water, or harms natural resources or biodiversity
- Latent defects cover protects property developers and building contractors against damage caused by defective design or workmanship that isn't revealed until after the project has been completed. Latent defects insurance covers costs associated with remedial work and can be used up to 12 years after the job’s completion.
- Construction professional indemnity protects you from claims made in the event of negligent work, giving poor advice or errors and omissions
- Delay in start-up or non-damage delays insurance is a bolt-on to the standard all risk cover, which can provide a lot of reassurance for you and your partners in the event of any delays to your project
- Delay in start-up or “advanced loss in profits insurance” protects against loss of revenue resulting from damage to works and structures that causes a delay in completing the project. Non-damage delays With a no-damage-for-delay clause, primary contractors can find themselves liable to pay damages to subcontractors if the project is delayed. A ‘no damage delays’ clause transfers this risk (under certain conditions; delaying on purpose is excluded).
Get in touch with a specialist broker
Policies are available on a project or blanket basis
This policy covers you for the duration of a project, including the contractual defects liability period. A blanket policy covers an agreed profile of projects declared within a pre-agreed declaration period.
Where your project is financed, the lender may require other insurances to be procured to safeguard their financial interest in the project.
We can also arrange additional protection to cover:
- Project workmen’s compensation insurance
- Construction plant & equipment insurance
- Project professional indemnity insurance
- Project marine cargo insurance