Project Policies- Contractors’ All Risks (CAR) Insurance Policy & Erection All Risks Insurance Policy (EAR)
All physical assets are exposed to various risks during their creation/construction viz. during the project stage. For instance, a factory can catch fire or get flooded, or suffer loss in an earthquake not only during its operation but also during construction/erection. Similarly, a road may get inundated or suffer loss in a landslide during construction/erection
Any unfortunate loss or damage during construction/erection can cause abandonment of the project itself unless protected against risks.
- Location risks like Fire, Burglary, lightning, etc.
- Handling risks like Collison, impact, dropping, snapping of crane ropes, etc.
- A human element like negligence, bad workmanship, malicious damage, sabotage, and the like
- Act of God perils like floods, cyclones, inundation, earthquake, etc.