Engineering Lines

Our products All Risk Covers

Zurich Global Corporate Construction all risks policy protects Owners, Contractors, Subcontractors and other parties engaged in carrying out work against physical loss or damage to the contract works, construction plant, equipment and machinery. It also includes cover for damage to property and bodily injury of third parties. Cover can be extended to include Delay in start-up (DSU) to offset loss of profits sustained due to contract works being delayed as a result of a loss insured under the terms of the Construction all risks policy.

Our coverage

• Coverage can be provided to Contractors, Owners or Developers, and may be tailor-made for the Industrial Sector, Civil Engineering or Building Industries
• Contracts domestic and worldwide
• Delay in start up (DSU)
• Cover on ‘all risks’ basis

Delay in start-up (DSU)

This cover will only be considered as an adjunct to an Construction all risks policy. Advance loss of profits cover provides indemnity to the insured in respect of lost profits due to the contract works being delayed as a result of a loss insured under the terms of the works section of a (Contractors all risks Erection all risks) policy. The following basic considerations must always be kept in mind when considering a Delay in start-up (DSU) risk:

• Generally, it is only the principal and financiers who can be insured
• The DSU sum insured must be in reasonable proportion to the sum insured under the CAR or EAR section
• The entrepreneur’s risk as well as contractual penalties cannot be insured under an Delay in start-up policy
• As the period of indemnity starts with the provisional hand over date at the end of the erection/construction period (date of practical completion) and not the date of any loss under the material damage policy, it is important that the erection/construction programme be available for assessment
• Extra caution is necessary with experimental type projects and uncertain market conditions
• Considerable technical and accounting know-how must be locally available for loss minimisation