TL;DR: (Too long, didn’t read)
A standard Contractors All Risk (CAR) policy does not cover riots, strikes, or political violence. Sasria covers that gap, but only if it has been set up properly and the full project value declared. Some add-ons (debris removal, surrounding property, transit) only apply if Sasria accepts them. Sasria does not cover third-party claims or knock-on losses like delays and lost income. If something happens, report it to the police within 48 hours and lodge the claim within 30 days.
The question nobody asks until it is too late: will my CAR policy pay out if my site is damaged in a riot, a protest, or a strike?
Most contractors and developers assume it will. It usually won’t, unless Sasria cover has been set up properly. The gap only shows up after the event, when the claim is rejected and the damage is done.
Here is what to check before work starts.
Why your CAR policy excludes riots, strikes, and political violence
A CAR policy pays for accidental physical loss or damage during construction. That is all it is built to do. It leaves out riots, strikes, civil commotion, public disorder, political violence, and terrorism, because these are large-scale risks. One unrest event can hit many sites at once, which makes it very different from a crane collapse or a burst pipe.
That is the gap Sasria fills. Sasria is South Africa’s only insurer for these special risks. Without it, a contractor or employer hit by a major unrest event carries the full loss alone.
How much cover does Sasria actually provide on construction projects?
The main Sasria layer covers up to R500 million per contract. Where more than one contractor or subcontractor works on the same contract, that rises to R550 million per insurance period. If a project needs more, Sasria Wrap Cover can sit on top and add up to a further R500 million, bringing the total to R1 billion. The wrap layer came back on 1 April 2026, is aimed at large projects, and is subject to Sasria’s underwriting, so it is best confirmed for your project. Anything above that may need a separate facility.
The main point: the project value you declare sets the cover you get. Do not assume the contract value equals your Sasria limit. Have the figure checked and declared correctly before work starts.
What many contractors get wrong about Sasria extensions
This is where things quietly go wrong, often unnoticed until a claim is assessed.
Many people assume Sasria automatically matches every add-on in the underlying Contract Works policy. It does not. Some add-ons must be declared and accepted by Sasria, including:
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- Removal of debris
- Surrounding property
- Temporary storage
- Transit
- Other project-related add-ons
If these were not declared at the start, the cover after a Sasria event can be far less than expected. Getting the structure right at the start is the whole point.
Does Sasria cover liability to third parties?
No. This is one of the limits that catches people out.
Sasria covers physical damage to the insured property. It does not cover public liability.
Picture a protest near an active site. Debris is thrown from the site into the building next door and causes serious damage. The damage to your own works may fall under Sasria. The damage to the neighbour’s building is a liability matter, and that sits under a separate liability policy.
Liability cover is usually arranged separately, alongside Sasria.
What about project delays and lost revenue?
A strike shuts a project for six weeks. The contractor still pays standing costs and idle plant. The developer opens late and loses rental income. Penalties start to bite.
Most people assume Sasria pays for this. Usually it does not.
Standard Sasria Contract Works cover pays for physical damage. Knock-on losses are generally excluded:
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- Delay in Start-Up (DSU)
- Advanced Loss of Profits (ALOP)
- Loss of revenue
- Contractual penalties
Where these risks are significant, specialist cover is often arranged separately. Ask early whether the project’s full risk has been assessed and structured.
If something happens, speed matters
Two deadlines matter after a riot, strike, or unrest event:
1. Report to the police within 48 hours. Get the case number and keep it. Without it, the claim gets much harder.
2. Lodge the claim within 30 days, through your broker or underlying insurer. That insurer usually handles the claim for Sasria. Late notice can sink the claim.
Good records help: photos, site logs, and a clear timeline. A smooth payout often comes down to the file you put together in the first few days.
The one question every principal should ask before signing
Before a project starts, ask:
“Who is arranging the Sasria cover, and has the full project value been declared correctly?”
It sounds simple, but it is the question that prevents disputes between employers, contractors, financiers, and insurers. The contract can shift who carries the duty, and it is not always obvious who that is.
The time to find a gap is before work begins, not after an incident.
Not sure if your project's Sasria cover is correctly arranged?
Construction insurance should be understood, not just bought. The projects that hold up are the ones built on clear risk, clear responsibilities, and the right cover from the start.
Not sure your project’s Sasria cover is set up correctly? CivilSure is happy to take a look.
Sources
- Sasria SOC Ltd, Construction Risk (offerings and products): sasria.co.za/offerings-and-products/insurer-broker/construction-risk
- Sasria SOC Ltd, Construction Risks Cover: sasria.co.za/construction-risks-cover
- Moonstone Information Refinery, “Sasria reintroduces wrap cover with reduced limit”: moonstone.co.za/sasria-reintroduces-wrap-cover-with-reduced-limit
Cover limits, the R550 million aggregate, and the R1 billion wrap total are drawn from Sasria’s published construction risk material and the April 2026 wrap reintroduction. Limits and policy conditions are subject to Sasria’s underwriting and may change, so the position for any specific project is best confirmed with the broker.
Frequently asked questions
Questions Everyone Is Asking About CivilSure
1. Does a standard Contractors All Risk policy cover riots or strikes?
No. Most CAR policies leave out riots, strikes, civil commotion, public disorder, political violence, and terrorism. These need separate Sasria cover.
2. What is the Sasria cover limit for construction projects?
The main layer covers up to R500 million per contract, rising to R550 million per insurance period where more than one contractor or subcontractor is involved. Sasria Wrap Cover, reintroduced on 1 April 2026, can add up to a further R500 million, for a total of up to R1 billion, subject to Sasria’s underwriting. Figures reflect Sasria cover at June 2026.
3. Do Sasria extensions automatically follow the underlying CAR policy?
No. Add-ons such as removal of debris, surrounding property, temporary storage, and transit must be declared and accepted by Sasria. They do not carry over on their own.
4. Does Sasria cover damage to neighbouring properties?
No. Sasria covers physical damage to the insured works. Damage to someone else’s property is a liability matter and sits under a separate liability policy.
5. Are project delays and lost profits covered under Sasria?
Generally not under standard Sasria Contract Works cover. Knock-on losses like Delay in Start-Up, Advanced Loss of Profits, loss of revenue, and penalties are excluded unless specialist cover has been arranged separately.
6. What must I do immediately after a riot or unrest event on site?
Report it to the police within 48 hours and get a case number. Lodge the claim through your broker or underlying insurer within 30 days. Photograph the damage and keep records from the start.
7. Who is responsible for arranging Sasria cover on a construction project?
It depends on the contract. The agreement between employer and contractor decides who carries the duty. Confirm it before work begins, not after an incident.
