Project Insurance FAQs

We can cover a wide range of residential and commercial projects, from minor to major renovations, extensions, property conversions and new build projects.
 

All Risks cover for the Contract Works and, if required, the Existing Structures, Advanced Loss of Profits or Delayed Start Up, Public Liability, Non Negligent Damage Liability (JCT Clause 6.5.1), Owned Plant and Hired in Plant.
 

The policy duration should be for the entire length of the contract. We can offer quotes for contract periods up to 36 months.
 

If the works are ongoing when the policy reaches the expiry date, then an extension of cover can be arranged in line with the new estimated completion date.
 

Cover will cease once the contract works have been signed off. The property owner can then arrange a standard property insurance policy.
 

Most property insurance policies will have a works notification amount noted within the conditions of their wording. If the works exceed this limit, then Insurers may refuse to continue cover or impose restrictions. It is likely that cover will be excluded for any loss or damage resulting from or in relation to the works being carried out.
 

Even if the Contractor already has an annual Contractors All Risks policy, a one-off single project policy may be required in certain circumstances. Reasons for this include if the contract is too large to fit under the annual policy, a special purpose vehicle company has been set up for the project, or the JCT contract conditions may stipulate the need for a single project policy or have contract conditions that their current policy cannot accommodate (e.g joint insured with the employer, non-vitiation, etc.).
 

There is an increased risk of accidents and injuries occurring on building sites. Therefore, it’s important for Employers and Contractors to ensure they protect themselves against claims arising from third party property damage or injuries caused as a result of a negligent act. We can include Public Liability up to £5 million limit of indemnity.
 

Non Negligent Damage Liability extends cover to include for third party property damage where there has been no act of negligence. Cover is included for collapse, subsidence, heave, vibration, weakening or removal of support, or lowering of ground water, which arises out of and in the course of the contract works being carried out.
 

JCT stands for Joint Contractors Tribunal. This type of contract is often drawn up for specific, one-off building projects and can be purchased directly from JCT.

JCT contracts are designed to clarify all aspects of the project and ensure all parties understand their duties and expectations, giving them peace of mind. The details range from what work will be carried out to what insurance cover needs to be arranged and who is responsible for arranging the insurance. For more information on the various forms of JCT contract, please see our article here.