Construction insurance or contract works insurance, covers builders and contractors. Construction insurance offers comprehensive coverage for a wide range of activities on a building project. From the building development to lock up and commissioning periods, construction insurance covers risks of theft, fire, malicious damage, flood and accidental damage, and storms. Contract works insurance protects against the financial impact of any unforeseen events during the development and construction processes. Learn about the key construction works insurance coverage areas every builder should know.
Who needs to get construction works insurance?
Whether it’s a renovation, a greenfield site or a large-scale development, construction works insurance can be tailored to meet your specific insurance needs. Our Client Managers can customise your policies to be annual or job-specific. The types of people who purchase Construction insurance include:
- Builders
- Contractors
- Landscapers
- Plasterers
- Plumbers
- Project managers
- Property developers
- Property owners
- Tilers.
Atlantic Insurance construction coverage checklist
With so many new builds, renovations, and major developments underway, it’s important to consider policy extensions and endorsements for your construction insurance coverage. As part of your construction insurance, adding a material damage component can include any existing structures. This is especially important because, during a renovation, your existing insurance coverage may not provide the coverage you require.
Our Client Managers suggest including the following:
- Third-party liability
- Damage to on-site materials
- Damage to structures
- Tools and equipment coverage
- Temporary buildings
Our Client Managers can also arrange coverage for assets on the construction site, like scaffolding, fencing, tools and equipment, toilets and site sheds. This can extend to offsite equipment and provide coverage for transporting them to and from the construction site. Other endorsements and policy extensions to consider include:
- Mitigation costs
- Pollution liability
- Principal supplied items
- Principal supplied materials
- Professional fees
- Removal of debris
- Variations and escalations
- Vibration, weakening and removal of support
How to choose the right construction insurance policy
When deciding on the most relevant Contract Works Insurance coverage for your needs, you must consider the nature, size and scope of the project. With a wide variety of policies available each with variations to coverage, our Client Managers specialise in tailoring a policy that meets your needs by considering the following:
- Additional coverages: These may be required and can include public liability insurance and machinery breakdown.
- Coverage limits: Your policy must provide adequate coverage for the total value of the construction project.
- Exclusions: What exclusions may leave your construction project exposed to risks. For example, some insurance policies won’t cover damages related to specific natural disasters.
Construction Insurance with Atlantic Insurance
At Atlantic Insurance, we have looked after the insurance needs of trades and builders for over 25 years. With supply chain shortages and material prices surging, builders are under more pressure than ever to deliver projects on budget and on time. Contact us today at 03 9836 3733 for a comparison quote for construction insurance.
Any information contained on this page of the website is general advice only and has been prepared without taking into account your objectives, financial situation or needs. You should consider these, having regard to the appropriateness of this advice and the relevant Product Disclosure Statement (‘PDS’), Target Market Determination (‘TMD’) and Financial Services Guide (‘FSG’), which will be provided following any formal recommendation to you.Â