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Specialised Cover

Contractor's All Risk Insurance

All-risk insurance for construction and civil engineering projects covering physical loss to the contract works, contractor's plant and equipment, and third-party liability, from ground-breaking to the end of the defects liability period. Structured to satisfy both client contract requirements and project finance loan covenants.

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Coverage at a Glance
Contract Works

Physical loss to the permanent and temporary structure

Contractor's Plant

Construction machinery and equipment on site

Third-Party Liability

Bodily injury and property damage to third parties

Maintenance Period

Cover extended through the defects liability period

All-RiskBasis
Contract Works+ Plant Cover
TPLIncluded
IRDAICompliant
Coverage

What Your Policy Covers

A structured placement designed to close every material gap in your risk exposure, not a standard policy sold off the shelf.

Contract Works, Section I
All-risk cover for physical loss or damage to the permanent works, temporary works and materials on site from any sudden and unforeseen cause, fire, storm, flood, theft, collapse and subsidence.
Contractor's Plant & Machinery, Section II
Covers loss or damage to construction machinery and equipment brought to site, excavators, cranes, compactors, scaffolding and hand tools, against accidental damage and breakdown.
Third-Party Liability, Section III
Legal liability for bodily injury to third parties or damage to their property arising from the construction operations, including adjacent property and utility damage.
Natural Perils
Specific cover for flood, storm, earthquake and landslide, extended for projects in seismic or flood-risk zones with appropriate sum-insured adjustments.
Defects Liability Period
An optional extension maintaining cover through the post-completion maintenance period specified in the construction contract for defects discovered after handover.
Delay in Start-Up
Optional cover for financial losses suffered by the project owner following a delay in commercial operation caused by an insured physical loss event during construction.
Construction Risk SpecialistsConstruction Risk Specialists
Our Approach

All-Risk Cover That Holds Up When a Project Goes Wrong

CAR insurance is written on an all-risk basis, cover applies unless the loss is specifically excluded. This is fundamentally different from a named-perils policy, where proving the cause of loss is your problem. In construction, where the cause of a collapse or flood event is routinely disputed, all-risk cover is the only defensible structure.

We review the construction contract, Bill of Quantities and project timeline before approaching insurers, the policy value, plant schedule and liability limit must reflect the specific project, not a generic estimate.
For projects with multiple sub-contractors, we structure the CAR policy to cover all parties' insurable interests under a single document, eliminating the gaps that arise when each sub-contractor places their own cover.
We confirm that the policy wording satisfies the insurance clauses in your construction contract and any loan covenant requirements from the project finance lender, before inception, not after a claim.
Who Needs This

Businesses That Carry This Risk

If your operations create the exposures described below, this cover belongs in your insurance programme.

01
Civil & Building Contractors
Main contractors require CAR to protect their investment in labour and materials and to satisfy the insurance obligations specified in their client contract.
02
Real Estate Developers
Property developers carrying construction risk on their own account need owner's interest cover for the contract value alongside third-party liability protection.
03
Infrastructure Projects
Road, bridge, tunnel and utility construction projects require specialist CAR cover for large-scale civil engineering operations in challenging site environments.
04
Project Finance Lenders
Banks and NBFCs lending against construction projects require CAR as a loan covenant condition, with the lender named as additional insured and loss payee.
05
EPC & Turnkey Contractors
Engineering, Procurement and Construction contractors for industrial plant, power generation and process facilities require CAR with erection all-risk extensions.
06
Sub-Contractors
Sub-contractors whose own plant and liability are not covered by the main contractor's CAR policy need standalone cover for the duration of their engagement on site.
How We Work

From Brief to Bound Cover

Three steps from your first conversation to a policy that is correctly structured and competitively priced.

01
Project Risk Review
We review the contract documents, project schedule, site location, construction methodology and sub-contractor structure to prepare the CAR policy specification.
02
Policy Placement
We approach engineering and construction insurers, negotiate all-risk terms with appropriate extensions, and confirm the wording satisfies contract and lender requirements before binding.
03
Claims & Project Support
On a loss, we immediately notify the insurer, appoint a loss adjuster with construction expertise and manage the claim through to settlement without disrupting the project programme.
Key Benefits

Why Clients Place This Cover Through Us

All-Risk Policy Basis
CAR is an all-risk policy, cover applies to every loss unless specifically excluded. This eliminates the burden of proving the specific cause of a loss that is common in named-perils policies.
Contract Wording Compliance
We review the insurance schedule in your construction contract and confirm the policy wording satisfies every obligation before the policy is bound.
Plant Schedule Management
We maintain the contractor's plant schedule throughout the project as equipment moves on and off site, ensuring no gaps in coverage during the build period.
Defects Liability Extension
We extend cover through the contractual defects liability period as standard, protecting against insured losses discovered after practical completion but before the final certificate.
FAQ

Common Questions

Either party can place the CAR policy, and it covers all parties' insurable interests. In practice, the main contractor typically places it and includes the project owner as a joint insured. The construction contract will specify which party carries the insurance obligation.
Existing structures on the construction site are excluded from standard contract works cover unless specifically included as 'surrounding property.' We include a surrounding property section with an agreed limit for projects where adjacent structure damage is a realistic exposure.
The contract value is the full reinstatement cost of the project, labour, materials, contractor's overhead and profit. It is not the client's budget or the land value. Under-valuing the contract sum creates proportional under-insurance that reduces every claim payment.
Yes, subject to standard security conditions, typically requiring the site to be secured when unattended. Theft of mobile construction equipment driven off-site may be subject to separate conditions, and we confirm these clearly at placement.
The defects liability period (or maintenance period) is the period after practical completion during which the contractor is obliged to remedy defects. The CAR defects liability extension covers insured damage to the works discovered during this period, not the cost of remedying defects, but the damage the defect causes.

Construction insurance that the project contract and the lender will both accept.

CAR policy wording disputes at claims time are almost always traced to inadequate review at placement. Speak to us first.

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Other Covers to Consider

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Standalone third-party liability cover for contractors whose CAR TPL limits are insufficient for a particular project's requirements.
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Plant & Machinery
Machinery breakdown and all-risk cover for construction plant and equipment beyond the project-specific CAR period.
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Marine Insurance
Cargo cover for imported construction materials and equipment, the complement to CAR for projects with significant procurement from overseas.
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