Insurance of construction works, installations against all risks and construction worker’s liability
Insurance of construction and installation works are addressed to construction companies, architects, designers, construction supervisors, execution technically responsible persons, building materials’ distributors, construction materials warehouses, companies specialized in consultancy on types of activities.
Usually, this type of insurance is optional but there are some exceptions when this type of insurance becomes mandatory, for example, when accessing European funds or in the relationship of companies with state authorities, or, when the Beneficiary expressly requires this insurance in the Execution Contract.
How to conclude such an insurance contract?
The insurance is drawn up on the basis of the insurance claim and/or specific questionnaire application (in the case of airports, harbours, railways, bridges or other artworks) filled up by the insured. From case to case, to these can be added the Execution Contract, Technical Memorandum, Value Quantitative Graph Works, Geo-Expert Report, etc.
The construction and installation insurances comprise 2 sections:
I. Material damages that are based on the execution works contract and can insure:
– Contract works, including materials and other goods that appear in the handling of contract
– Constructions and equipment owned by the beneficiary
– The equipment of the construction worker necessary to carry out the contracted works
– Other costs such as cleaning expenses in case of damage, professional fees, architects, designers
– Construction works: civil, industrial, commercial, administrative, agricultural and/or those of installation (equipment, plants and technological/production equipment).
Types of construction works that can be insured:
– residential buildings, offices, hotels, shopping centres, parking (underground and ground)
– industrial buildings: production halls, warehouses for goods
– runways, asphalt works, construction or rehabilitation of railroads, roads or highways inside or outside cities
– bridges and passages, tunnels, galleries
– sewerage works: laying of pipes and conducts, water distribution systems
– utility networks: water, sewerage, gas
– industry fittings: production equipment and instalments
II. Civil liability related to third parties (as a result of activity conducted) which comprises 2 branches:
– Accidental body injuries or illness
– Losses or accidental damage of goods
For Section I, the insured amount is the total value of the construction and installation contract to which may be added, and:
– the total value of the materials and goods made available by the Beneficiary and that follows to be incorporated in construction
– the new value or the remained value of the constructions and equipment owned by the Beneficiary
– the new value or the remaining value of the equipment, machinery and machines owned by the Constructor and used by him for the construction and installation works
For Section II, the insured amount is chosen by the insured person and is set in accordance with the limit per event and aggregated for the entire period of works unless it is contractually required to do so by Beneficiary.
Additional expenses can also be insured:
– cleaning of debris in case of damage;
– professional fees (architects, consultants, experts);
– the intervention of fire-fighters;
– court expenses
– medical expertise;
The loss, damage or liability caused, produced or directly or indirectly by:
-war, invasion, action of an external enemy, hostilities, irrespective of whether the war has been declared or not, civil war, rebellion, revolution, insurrection, strike, lock-out, civil disturbance, power (dictatorship) military or power usurpation, malicious persons or persons acting in relation with any political organization, confiscation, conspiracy, requisition, nationalization, destruction or damage by order of any government of law or fact or any political authority;
– nuclear reactions, nuclear radiation or radioactive contamination,
– the intention or gross negligence of the Insured or his/her representatives;
– the total or partial cessation of the work;
– pollution or contamination;
– space risks, such as satellite falls, space shuttles, meteorites;
– the franchise provided in the insurance, for each event, that follows to be covered by the Insured;
– indirect damages of any kind, including penalties due to non-observance of execution terms, other contractual obligations, or loss of contract