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.
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.
Need Expert Guidance on Your Claim or Policy?
Talk directly to licensed insurance specialists. Unbiased advice with zero fee.
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.
- Start CAR cover before materials reach the project site.
- Check whether testing, commissioning, and maintenance periods are covered.
- Update the policy if project value or completion timeline changes.
- For project insurance planning, call or contact BIMAHEADQUARTER for information.