Contractors All Risk (CAR) Insurance is a construction insurance policy that protects construction projects against accidental physical loss or damage during the contract period. It can also include third-party liability cover for injury or property damage arising from construction activities.

Contractors All Risk Insurance is suitable for building contractors, civil contractors, infrastructure contractors, developers, property owners, project employers, subcontractors, and engineering firms. Many construction contracts require CAR Insurance before work begins.

Depending on the policy, CAR Insurance may cover buildings under construction, construction materials, temporary works, plant and equipment (if included), fire, accidental damage, storm and flood (subject to terms), theft of insured property (where covered), and third-party liability. Coverage varies by insurer and policy wording.

Third-party liability covers the contractor's legal liability if construction activities accidentally cause bodily injury to another person or damage to third-party property during the project.

While not required by law for every project, Contractors All Risk Insurance is commonly required by project owners, developers, government authorities, and financing institutions as part of construction contracts.

Contractors All Risk Insurance primarily protects the construction project itself against physical loss or damage and often includes third-party liability. Public Liability Insurance focuses only on legal liability arising from injury to third parties or damage to their property and does not insure the construction works.

Yes. Construction materials intended for the insured project are generally covered against accidental loss or damage while at the insured site, subject to the policy conditions and declared sum insured.

Many Contractors All Risk policies automatically extend protection to nominated subcontractors working on the insured project, while others may require them to be specifically named. The exact coverage depends on the policy wording.

CAR Insurance can be arranged for various construction projects, including residential buildings, commercial buildings, villas, warehouses, factories, schools, hospitals, roads, bridges, and infrastructure projects.

The premium is typically based on the total contract value, type of construction project, construction period, project location, nature of work, construction methods, previous claims history, and coverage limits with optional extensions.

Insurers generally request project details, contract value, bill of quantities (if available), construction schedule, site location, scope of work, contractor details, and project duration. Additional information may be requested depending on the project.

The policy normally covers the construction period specified in the contract. It can often be extended if the project completion date changes, subject to the insurer's approval.

Yes. Many insurers offer an optional maintenance period extension, providing cover for certain losses or damage that occur after project completion during the contractual maintenance period, subject to the policy terms.

Common exclusions may include faulty design, normal wear and tear, poor workmanship (subject to policy wording), mechanical or electrical breakdown of construction machinery (unless insured separately), war and terrorism, intentional acts, and contractual penalties. Always review the policy wording for complete exclusions.

When comparing Contractors All Risk Insurance policies, consider the scope of cover, third-party liability limit, sum insured, deductibles, optional extensions, policy exclusions, claims process, and the insurer's experience with construction risks. Comparing multiple insurers helps you select a policy that matches your project's requirements and contractual obligations.