Contract Works

Contract Works Insurance for Australian Builders

Covers a construction project while it is under way: the work completed so far, the materials waiting to go in, and the liability that comes with a live site. An ordinary property policy does not answer for a building that does not exist yet.

What it covers

  • The works in progress, up to the contract value
  • Materials on site and often in transit to it
  • Liability arising from the site
  • Removing debris after an insured event

What it does not

  • Faulty workmanship itself, as opposed to the damage it causes
  • Tools and plant, unless specifically added
  • Delay costs and contractual penalties

What an insurer will ask you

These are the real questions, and why each one changes your premium. Book a call and a broker walks through them with you.

What is the contract value, and how long will the job run?

The sum insured has to cover the finished value of the works, not what has been built so far, and the policy period has to outlast the job including any delays.

Who else needs to be named — the principal, the head contractor, subcontractors?

Construction contracts usually require the principal to be covered for liability arising from your work. Somebody who should have been named and was not is somebody with no cover.

What materials will be on site, and how are they secured overnight?

Materials waiting to be installed are a theft target and are often the largest single exposure on a residential site.

Does the job involve hot works, excavation, or work on an existing structure?

Each changes the risk materially. Work on an existing building also raises whose policy answers for damage to the part that was already there.

Tell us what you do, and we will take it from there.

Pick a time that suits you. An authorised broker takes it from there and goes to the market on your behalf.

This page is general information only and does not take your objectives, financial situation or needs into account. Consider the Product Disclosure Statement before deciding. Cover is subject to the insurer’s terms and acceptance.