Engineering Insurance
helping businesses to build the future
Exciting times, emerging risks
Engineering Insurance explained
Engineering insurance refers to the broad class of “All Risks” insurance that provides an economic safeguard to the risks faced by the management of ongoing construction projects, installation projects, machines and equipment in project operation.
Contractors’ All Risk (CAR) Insurance: covering accidental physical loss or damage in respect of the contract works, during the execution of a civil engineering project. CAR insurance provides an “All Risks cover” with all perils covered unless specifically excluded. Cover starts from the commencement of work or after unloading of the first consignment at project site, whichever is earlier; and terminates on handing over of works to the Principal or expiry of policy, whichever is earlier.
Erection All Risks (EAR) Insurance: providing coverage for the erection of mechanical and electrical plant. The Interest of Suppliers/Manufacturers, Contractors and Subcontractors can be recorded in the policy. The policy covers risks associated with storage, assembly/erection and testing of Plant and Machinery and is a comprehensive “All Risks” cover with all perils covered unless specifically excluded. Like CAR, cover commences from the time of unloading of the first consignment at the project site and terminates on completion of testing or handing over of the project to the Principal, or the period chosen, whichever is earlier.
Extensions to this cover can be made to include Escalation, Clearance and Removal of Debris, Third Party Liability, Maintenance, Damage to Owner’s Surrounding Property, Express Freight for replacement parts, Additional Customs Duty and Holiday and Overtime rates and Wages. These extensions require additional premiums to cover the risk, and are easily arranged through any RAKINSURANCE office.
Machinery Breakdown Insurance broadly covers sudden and unforeseen losses arising from accidental, electrical and mechanical breakdowns caused by internal and/or external factors. Cover is provided during the time the machinery is in operation, at rest, or in the process of dismantling, overhaul or subsequent re-erection at the same premises. The Policy does not cover loss and/or damage from Fire and allied perils, Theft, overloading experiments, wilful acts or gross negligence, gradually developing flaws and deterioration from normal use. Loss of profit caused by the breakdown is covered separately. Various Extensions can be granted depending on needs and circumstances and following referral to our specialist Underwriters.
Loss of Profit due to Machinery Breakdown Insurance covers the resultant monetary loss suffered due to the halting of the production process following the event of a machinery or plant breakdown.
As with all RAKINSURANCE products, qualified professionals are available to provide guidance to customers in this complicated area of Commercial Insurance.
Engineering Insurance to suit you ... & your budget
Downloads
Engineering Contractors Plant And Machinery Census
Third Party T&C in English
Third Party T&C in Arabic
Third Party T&C in English
Third Party T&C in Arabic
Engineering Machinery Insurance Specification
Engineering Questionnaire For Pipelaying Ear Proposal
Engineering Questionnaire for Roads Railways Ear Proposal
Engineering Machinery Insurance Specification
Engineering Questionnaire for Roads Railways Ear Proposal
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