4 Benefits of Contractors All Risk Insurance
Contractors all risk insurance is a type of insurance cover that aims to protect you against losses as a result of the loss of, or physical damage to, a construction project. Also known as Contract Works Insurance, this is a type of commercial insurance that protects you as a contractor working on projects. Due to the nature of contract work and construction projects, it’s vital that you protect yourself in the event of something unexpected.
In this blog we’re discussing four key benefits of having contractors all risk insurance, and the reasons why you should consider this type of cover for your business…
1. You’re Better Protected
With a full contractors all risk policy, you take the stress out of taking out lots of smaller policies for different aspects of your business or project. With all risk insurance cover, you’re better protected for eventualities than picking and choosing smaller, and sometimes altogether more expensive, insurance.
Contractors All Risk Insurance can cover a variety of factors, including (but not limited to):
- Damage to contract works from issues like fire or flood
- Equipment or machinery damage
- Damage to client’s property
- Damage to third-party property
- Injuries to third parties
- Employee injury
2. Covers You For More Than Just Public Liability
With many different types of commercial insurance recommended to contractors and tradesmen, it can be confusing to know what the more precise insurance covers are. One such insurance type that you will often hear of is public liability insurance, which covers legal liabilities in the case that a customer or member of the public is injured or suffers damage to their property. The Contract Works section of the policy provides cover for the main subject matter of the contract and any unfixed materials. With a Contractors All Risk policy, the cover is different, but can sometimes overlap – you may be able to add public liability to your all risk cover.
But All Risk Insurance cover also covers many extra aspects that public liability doesn’t, such as damage to machinery or damage from environmental issues like fires or floods.
3. Also Covers Non-Negligence
This type of commercial insurance can include non-negligence upon request. Non-negligence insures accidental damage to nearby properties not as a result of your negligence. This could arise from collapse, subsidence, lowering of groundwater which has happened because of your work but was not predictable. The building contract that you use may require you to have this cover which can be
arranged in conjunction with the main policy. The building contract will also state who is responsible for insuring the contract works. Joint name policies they are not automatically covered but can be arranged so they run in line with the main contractors policy.
4. Contractors All Risk Insurance Can Be Tailored To You
All Risk Insurance cover can be tailored to your needs – especially when you go through specialist brokers like us at Higos. Our commercial insurance experts will be able to assess your needs for your business or the specific project you’re working on, and tailor your policy to those needs.
A typical contractors all risk insurance policy provides cover for public liability, employers liability, contract works, both owned and hired machinery installed in a plant, non-negligence, and tools. We can include that any accidental physical loss or damage that occurs to your ongoing project on site is covered, provided the work is not completed, there’s no damage to existing structures, and the property is handed over to the owner.
With contractors all risk insurance, you’re not spending on cover you don’t need, and you’re better protected for risks specific to your business.
To get a quote on your Contractors All Risk Insurance or discuss your needs, get in touch with our tradesman insurance team on 01458 270323, or request a call back if it’s out of hours. After all, for comprehensive commercial insurance, it has to he Higos.