Contractor All Risk

Contractor’s All Risk (CAR) and Erection All Risks are Policies designed to meet the insurance obligations placed
upon Contractors under the contract conditions. The Policy covers the works to be executed in accordance with the contract,
temporary works, materials, construction plant and equipment brought into the site and liabilities arising out of the performance
of the contract.

In general, CAR insurance is intended to cover buildings and civil engineering works under construction while EAR for
erection of plant and machinery. Both are broad form in cover on All Risks basis. However, since EAR relates more to plant
and machinery, cover is usually extended beyond erection to include testing and commissioning. Section 1 of the CAR / EAR policy
covers almost any sudden and unforeseen physical loss or damage occurring (except as specifically excluded) to
the contract works/property/items insured, during the period of insurance.

Cover for Section II of the policy is in respect of third party liability for which the Insured shall become legally liable to pay as damages consequent upon :
    * • Accidental bodily injury to or illness of third party 
    * • Accidental loss or damage to property belonging to third party


The third party liability cover is based on legal liability for accidental loss or damage in direct connection with the works and
happening at or in the immediate vicinity of the site occurring during the period of cover.