Contract works insurance

Contract works insurance can be purchased as a combined material damage/public liability policy, or separately. Talk to one of our brokers to work out what’s best for your project

It generally provides you with two main types of cover that are essential for construction projects:

• Material damage for the cost of repairing or replacing materials, tools and equipment in the event of accidental damage, fire, theft, vandalism and natural disasters (eg floods)
• Public liability insurance for accidental third-party property damage (eg damaging equipment or property) or bodily injury (eg a member of the public is injured on site).

Depending on the type of services you provide, you can also talk to your broker about purchasing a separate policy for things such as contract works cover for errors or omissions in the advice you provide, or residential builders warranty insurance, which provides protection for homeowners.

You may be contractually obligated and we highly recommend it – especially if your company offers building design advice or services.

As a builder, you are not protected by another party’s professional indemnity insurance such as the designer’s, engineer’s or other consultant’s policies.You may be contractually obligated and we highly recommend it – especially if your company offers building design advice or services.

As a builder, you are not protected by another party’s professional indemnity insurance such as the designer’s, engineer’s or other consultant’s policies.

Yes. We can arrange monthly instalments* with a premium funder, provided you meet certain criteria.

To arrange monthly payments, talk to one of our dedicated Marsh insurance brokers.

This can generally be included into your contract works policy, however, may not be automatic.

The extension would cover your tools and equipment for damage, loss or theft up to an agreed insured sum. If you’re applying for a new policy, be sure to tell your broker you’d like to add this on.

The answer will vary from insurer to insurer. Your policy may look different depending on who provides it – and inclusions may only apply to certain projects.

Generally speaking, a typical contract works policy can cover physical loss or damage to buildings, materials, temporary works and construction-related equipment. 

This might be due to:

• Fire

• Theft

• Vandalism

• Storm and flood damage

• Natural catastrophes – earthquakes and cyclones.

Single project cover is a policy procured on a case-by-case or ad hoc basis. Some businesses need this under a contractual obligation.

Generally speaking, it’s most beneficial for projects that are at high risk of natural catastrophes. Large-scale construction projects, more complex in nature, also benefit greatly from this form of cover.

Contrary to single project cover, we can also arrange contract works insurance on an annual basis. The policy will include a set of parameters for projects that can be automatically covered. This form is called annual blanket cover. 

It’s most beneficial for builders and construction companies who complete multiple projects in a year. They might need cover that includes pre-agreed parameters and limits for many projects under a single policy.