Contractors All Risk (CAR) insurance is designed for civil construction projects such as buildings, warehouses, factories, roads, and infrastructure works. It covers accidental physical loss or damage to project works and may also include third-party liability arising from construction activity.
1. Why Project Value Must Be Complete
The sum insured should include contract value, materials, labor, freight, customs duty, escalation, and owner-supplied materials where applicable. If major components are excluded from declared value, the project can become under-insured. Endorsements may be needed when project cost increases during execution.
2. Extensions Can Be Critical
Depending on project needs, CAR policies can include maintenance cover, removal of debris, surrounding property, escalation, cross liability, earthquake, terrorism, and third-party liability. The extensions should match site conditions, contract requirements, and lender expectations.
- check_circleStart CAR cover before materials reach the project site.
- check_circleCheck whether testing, commissioning, and maintenance periods are covered.
- check_circleUpdate the policy if project value or completion timeline changes.
- check_circleFor project insurance planning, call or contact BIMAHEADQUARTER for information.