0807777771

CALL US ON 080 777 777 1

Does a Construction All Risk Policy cover damage to surrounding property?

Yes, damage to surrounding property is covered by a construction all risk policy, provided it’s included as an add-on to the Contract Works cover. This means an extra premium would be charged to get the specified surrounding property covered.

Surrounding property is any property located on, or adjacent to, the construction site, which is held in custody or control by the Contractor. It’s important to note that cover for damage to surrounding property would not be applied to construction, plant, equipment and erection machinery.

How does cover for damage to surrounding property work?

When properties such as houses, malls, offices etc. undergo renovation or repairs only the alterations are covered under the Contract Works, not the existing structure. This means the existing structure should continue to be insured under the existing Buildings insurance policy because the Contract Works would cover the newly renovated or extended portion of the building.

A common misconception amongst homeowners, architects, engineers and project managers is that the existing property insurance will automatically provide cover whilst an extension is being built, but this is not necessarily the case.

If the existing buildings Insurer is unable or unwilling to cover the existing structure, then the Surrounding Property add-on should be activated.

RELATED POSTS

What does Contractors All Risk cover include?

INSURANCE FOR THE CIVIL & CONSTRUCTION INDUSTRY CALL US ON 080 777 777 1 What does Contractors All Risk cover include? Contractors All Risk (CAR) insurance is usually provided on a monthly or once-off basis and provides protection for individual construction...

Contractors All Risk policy – Should You Put Your Name On It?

Dirk Gouws (Engineering Insurance expet, AC&E Engineering Underwriting Managers) explains the meaning of having your name on a Contractors All Risk policy.

Construction of the Tallest Building in South Africa

Read the history >> Construction of the tallest building in South Africa, the Carlton Centre. Built in 1973 and designed by architects Skidmore & Owens.

What is a Contractors All Risk Insurance policy?

A Contractors All Risk insurance policy, provides cover for the contract works, surrounding property, contractors’ public liability, SASRIA, Special Risks..

What is ‘Practical Completion’?

Practical Completion doesn’t mean the Contractor has finished the Works in every detail. It means the Works are sufficiently complete to be safely used by the Employer for the purpose he intended. The Contractor may still complete minor items and fix defects after Practical Completion, as long as the Employer isn’t inconvenienced.

Will my CAR policy cover the cost of removing debris from site should an incident occur?

INSURANCE FOR THE CIVIL & CONSTRUCTION INDUSTRY CALL US ON 080 777 777 1What is the Debris Removal extension on a CAR Policy? This extension (or add-on) covers the clean-up costs associated with damage to your site. It’s important to note that debris removal will only...

Some dos and don’ts when managing a Contractor’s All Risk claim

INSURANCE FOR THE CIVIL & CONSTRUCTION INDUSTRY CALL US ON 080 777 777 1 Some dos and don'ts when managing a Contractor’s All Risk claim. Contractor’s All Risk claim , our knowledge of the industry is our key advantage in achieving outstanding claims success. Building...

What is Plant All Risk Insurance?

Your onsite machinery (plant) is vulnerable to a number of problems such as breakdowns, vandalism and theft. Missing a project deadline can be bad news for your bottom line as well as your reputation. Plant All Risk Insurance covers you for loss of, or damage to, construction plant and equipment whilst in storage, transit, on the contract site or being use as a tool of trade.

When a Disgruntled Employee Sabotages Your Structure…

Does Contractors Liability on the Contractors All Risk policy cover damages to a structure, caused by a disgruntled employee’s pre-meditated sabotage?

What is the Defects Liability Period?

The Defects Liability Period starts when the Certificate of Completion is issued and continues for the period agreed to in the Contract. During the Defects Liability Period, the Contractor has to obey all written instructions from the Engineer to carry out repairs and fix any defects which appear in the Permanent Works, so that, at the end of the Defects Liability Period, the Permanent Works are in the condition required by the Contract.

Contractors All Risk
Construction Guarantees
Construction Liability
Professional Indemnity

CALL US ON 080 777 777 1

Message Us on WhatsApp

Pin It on Pinterest

Share This