What risks does an All Construction Site Risks insurance cover?
An All Construction Site Risks insurance can be taken out for the construction or renovation of homes, apartments, office buildings, commercial properties, logistics warehouses and government buildings. All parties that are involved in the construction project are insured under a single joint policy: the principal, (sub-)contractors, architects, engineers, etc. The advantage of this is that it is not necessary to find out who is responsible in the event of a damage claim. The site does not have to be shut down, and compensation can be paid immediately, without discussion about the allocation.
The basic cover of the All Construction Site Risks insurance relates to all material damage to the construction work. This includes the building itself, as well as the equipment that is integrated into it (kitchen, sanitary facilities, etc.) and the materials used. Temporary constructions, any existing property, construction site equipment and tools are also insured. Almost all material damage during the construction period is covered, with a few exceptions:
- Damage due to extreme weather and natural disasters (a newly-built facade that is blown over, for example),
- Damage due to fire and explosion (fire following a lightning strike in an unfinished, newly-built house, for example),
- Damage due to theft and vandalism (theft of a built-in heating boiler, for example),
- Damage caused by collapse, or stability issues as a result of an error in the design or the calculations (subsidence of the house due to a stability problem, for example).
In addition, the All Construction Site Risks insurance includes a guarantee that covers the insured parties for their liability for damage to third parties. For you as a principal, it is important to protect yourself well against the consequences of neighbourhood nuisance due to work on the construction site of your home. As a matter of fact, on the basis of Article 544 of the Civil Code, you, as the owner, can be held liable for damage to the home of your neighbour (cracks in the wall, for example) and the neighbour is not even required to prove any fault.
To what should you pay attention when taking out an All Construction Site Risks insurance?
It is important to list in the policy all the parties that are involved in your construction project. In this way, everyone is insured in a single, joint contract, and claims can be quickly processed and paid out.
It is also best to indicate the duration of the coverage in advance. As standard, an All Construction Site Risks insurance is taken out for a fixed period of 12 months. A construction project often takes longer than scheduled, however. That’s why we can immediately establish coverage for 24 months following a simple advance notification. An All Construction Site Risks policy also provides coverage for a maintenance period of 12 months (which can also be extended to 24 months).
An All Construction Site Risks insurance is customised. In order to ensure that you are adequately and correctly insured, we start with a thorough analysis of your risks. Only then can we ensure the correct coverage and the insured capital. Moreover, with our VD Construct Solutions concept, we also look at the bigger picture of insurances that you will need to ensure your peace of mind while building.
At Van Dessel, every All Construction Site Risks policy is fully tailored to the needs of the customer, with specific conditions and coverage that are carefully negotiated with our partner insurers. Thanks to our in-house developed tool, we are able to provide you with a detailed quotation in a very short time, which we can immediately convert into a policy following the go-ahead from the customer.
What is the cost of an All Construction Site Risks insurance?
The price of an All Construction Site Risks policy depends on the value of the home or the building, and the scope of the risk: the premium for the insurance of an open construction, for example, is lower than that of a fully enclosed building.