Construction insurance involves the exchange of a contingent claim for a particular amount of money to protect the interests of relevant personnel in the construction industry.  The number of property damage and bodily injuries in the construction industry is very high. Furthermore, there is a large number of investments. This can make handling of finances crucial, and hence the need for insurance.

Worker's Compensation Policy

This policy covers all liabilities that arise in relation to death or injury of employees. It is essential for the employer to also abide by the occupational health and safety standards to avoid such cases.

Contractor Plant and Machinery Policy

This policy covers physical losses or damage to the insured machinery that necessitates either repair or replacement. The sum insured has to be similar to the current purchase cost of a new machine inclusive of costs of erection, tax, duty and freight among others.

Compulsory Third Party Motor Vehicle Insurance Policy

All vehicles associated with work under a contractor should be insured to cover both your liability and that of anyone else who operates the vehicle. The policy covers injuries caused to others in the event of an accident.

Public and Product Liability

This indicates a legal ability to compensate third parties affected by the business activities or products of the insured party. The damage can either be a bodily injury or physical damage to the property of the third party. Product liability covers damage resulting from the company's products while public liability covers damages arising from the business activities of the particular company.

Professional Indemnity Policy

This covers liability that falls on professionals due to omissions and errors they commit during the delivery of their professional service. The key benefit of this type of policy is that there is a retroactive period on the continuous renewal of the policy, where the claims that were reported in the subsequent renewal, relating to an earlier time after the first initiation of the policy gets paid as well.

This type of policy also encourages group policies for individuals in one profession, and you can even get group discounts calculated based on the number of individuals in a group.

Contractor's All Risk Policy (CAR)

Contractor's all risk policy gives civil engineering contractors financial protection in the likelihood of an accident to the civil engineering work during construction. It covers both third-party injury and damage to property. You can get cover for fire, wind, flood, construction faults, negligence and natural calamities. You will not get cover for poor workmanship or wilful negligence. To learn more, talk to an insurance company like National Corporate Broking Pty Ltd.