Most important insurance for construction

You are most likely part of the construction sector and you are about to start a new project. In this case, you cannot forget which are the most important construction insurances to make your work safe and without any problems.

There are five classifications: civil liability insurance, all risk, ten-year, construction agreement accidents and building and civil works insurance. Do you want to know how these five large groups are defined? No problem, in this post we are going to inform you about everything you need to know and more. Make sure to keep reading!

What are the most important insurances for construction?

Have you heard of liability insurance? Maybe yes or maybe no; This is part of the five most important insurance for construction that you cannot ignore. Below we will briefly define each one as well as its function.

• Construction Civil Liability Insurance

If you are familiar with the process involved in making a work, you surely know that there are many important people involved. Among them you may have architects, builders, developers and more.

This well-known group in all works must have a covered civil liability, which will avoid misunderstandings in the future.

Civil liability insurance in a construction will help the group of your work to protect it from damages that are originated by third parties in an involuntary way.

• I show you a series of examples below:

The architect will respond to the origin of an error in the design.

The builder, during the work, causes damage to a third party, he will have the obligation to respond individually.

Likewise, the promoter, for example, in the event that the work causes damage to third parties, he or she will bear the responsibility.

• Construction "All Risk" Insurance

It is the second insurance and one of the most important. The All Risk insurance protects the entire building or property that is being carried out. This comprehensive policy will guarantee to cover the cost of the project that is in the process of being carried out.

These claims can be due to own failures or inconveniences that do not involve the person, an example would be; fires, theft, dangerous wind, hail, a frost and more.

• Decennial insurance

The ten-year policy is a mandatory document in promotions that are dedicated to the sale of homes. However, it is very common to take out such insurance in offices, shopping centers, sports centers and more.

The one who must have the decennial insurance is the construction promoter, since this insurance will guarantee that all the user's rights remain stable against material damage originating in the building.

• Building and civil works insurance

Building and construction insurance can be found in civil construction jobs. This covers damages depending on the construction when they are direct participants in a sudden accident.

• Construction agreement accident insurance

Many of the construction sectoral agreements urge to have an accident insurance agreement for construction, which protects the workers of these companies.

In the event that you suffer an accident or the workers, compensation will be a right for the organization's worker. It is then that the company must pay the compensation in case this inconvenience has not been outsourced through the policy.

The usual amounts can be higher than € 30,000.

What you should take into account before hiring construction insurance or any other policy

Construction policies are not a contract to be taken lightly, you have to take into account some peculiarities or aspects that will help you choose the best construction insurance. These most important aspects to take into account will be helpful for any other policy.

Here is what you should take into account before hiring construction insurance (or any other policy):

• The insurer you choose must have sufficient experience

Experience is something that you don't usually get at all insurance companies. It is a skill that the group must have and which will save you from risks in construction, life, home and more.

• Flexible payment methods

It is important that, during construction or in real estate projects, the insurer can have a flexible range of payment methods. In this way, the builders, promoters or other parts of the project will be able to maintain good financial health.

• Make known all the clauses of the contract

As well as flexible payment methods and good experience in the financial and insurance world, you will need to disclose the values of the contract. In this sense, you must have useful information about the clause of the contract; Indemnity limits, document values, and more.

I hope this article helps you choose your liability insurance and if you need personalized advice, it is best to turn to an insurance company to cover you in case of any accident or unforeseen event.