Construction
INSURANCE Just as there are numerous risks within the construction industry, there are numerous forms of construction insurance to protect you. Often when people are talking about construction insurance they are referring to contract works insurance, but there are a few others that fall into the same category.
This insurance will protect your projects from a range of different risks, including: • Loss or damage to the project due to fire, storm and a range of other risks • Loss or damage to materials on the work site • Property damage or personal injury to others Some of those points might seem like they overlap with public liability insurance, but there is a big difference.
In this guide we’ll take a look at the various forms of insurance that businesses within the construction industry may need.
Public liability is all about covering your negligence, so we’re talking about events where you are found to have been negligent, and that has contributed to the loss.
• Contract Works • Contractual Liability • Public Liability • Professional Indemnity • Mobile Plant & Equipment There are more, and we recommend speaking with one of our construction specialists for more detailed information on which could be right for you and your business. CONTRACT WORKS Contract works is one of the most common forms of builders insurance. You’ll sometimes hear it referred to as construction works insurance, builders all risk insurance and everything in between. Most commonly it’s just contract works insurance.
But contract works will cover you where you were not negligent, or basically, it wasn’t your fault. For example, if your worksite was properly secured but a storm caused damage, that’s not your fault. It wouldn’t be covered by public liability but would be covered by contract works insurance. CONTRACTUAL LIABILITY Contractual liability insurance is somewhat similar to contract works insurance, but it covering a different type of risk. We recommend speaking with one of our specialists for a proper explanation, but basically it covers you for things that you might not normally be liable for, but the contract you have signed has made you liable.
2021 April Issue | 9
