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Contractors All Risk Policy from HDFC ERGO

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Due to risk factors like heavy materials, working at heights and lack of adequate security measures, a construction site is probably one of the most susceptible to all sorts of accidents. Losses can also cause due to other factors such as Damage, Burglary & Theftlegal claims and more.All these factors put Civil Engineering contractors at high risk that not only affect their delivery, but sometimes also put their existence at stake.

HDFC ERGO recognizes the Civil Engineering Contractors’ urgency to deliver projects within deadlines. To this end HDFC ERGO has the Contractor’s All Risk Insurance policy that covers the risks during construction, comprehensively. It includes physical loss or damage to property, plant, machinery and tools, works brought on to the site and temporary works erected on-site, as well as third party Liability related to work conducted on the site.This policy is specially designed to give financial protection to the contractors in the event of an accident to the civil engineering works under construction.

HDFC ERGO has the Contractor’s All Risk Insurance policy is designed to cover civil engineering projects such as buildings, roads, airports, flyovers, water tanks, sewage treatment plants, etc.Unless specifically excluded, HDFC ERGO’s All-Risk Insurance policy covers accidental physical loss or damage to contract works during the execution of a civil engineering project. Coverage begins from the commencement of work or after unloading of the first consignment at the project site, whichever is earlier, and terminates on handing over of the works to the principal or on expiry of the policy, whichever is earlier.

The policy’s coverage can be extended to include the interest of suppliers / manufacturers, contractors and Subcontractors.For a nominal additional premium, the Contractors All Risk Insurance Policy can be extended to cover a host of risks including Earthquake, Act of Terrorism, Escalation, Limited Maintenance Cover, Extended Maintenance Cover, Clearance and Removal of Debris, Damage to Owner’s Surrounding Property, Third-Party Liability, Cross Liability, Express Freight, Holiday & Overtime Rates of Wages, Contractor’s Plant & Machinery, Inland Transit, Innocent Non-Disclosure/Breach of Policy Conditions, Serial Losses, Loss or Damage due to Strike, Riot and Civil Commotion (SRCC), Suspension of Testing, Put to use, Non-vitiation Clause, Dewatering expenses upto INR 10 lacs, etc.

The policy’s coverage can be extended to include the interest of suppliers / manufacturers, contractors and Subcontractors.For a nominal additional premium, the Contractors All Risk Insurance Policy can be extended to cover a host of risks including Earthquake, Act of Terrorism, Escalation, Limited Maintenance Cover, Extended Maintenance Cover, Clearance and Removal of Debris, Damage to Owner’s Surrounding Property, Third-Party Liability, Cross Liability, Express Freight, Holiday & Overtime Rates of Wages, Contractor’s Plant & Machinery, Inland Transit, Innocent Non-Disclosure/Breach of Policy Conditions, Serial Losses, Loss or Damage due to Strike, Riot and Civil Commotion (SRCC), Suspension of Testing, Put to use, Non-vitiation Clause, Dewatering expenses upto INR 10 lacs, etc.

Like most other non-life insurance policies, HDFC ERGO’s  Contractors All Risk Insurance Policy comes with certain set of exclusions. Some of the major exclusions under this policy are as follows:

• War Perils

• Nuclear reaction, Nuclear radiation or Radioactive contamination

• Willful act or willful negligence of the Insured or of his responsible Representative Cessation of work whether total or Partial. Excess as mentioned in the policy schedule.

• Damage due to faulty design

• The cost necessary for rectification or correction of any error during constructionunless resulting in physical loss or damage; normal wear and tear, gradual deterioration due to atmospheric conditions or lackof use or obsolescence or otherwise, rust, scratching of painted or polished surfaces or breakage of glass

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Disclaimer: The above information is for illustrative purpose only. For more details, please refer to policy wordings and prospectus before concluding the sales.