Infrastructure Industry Solutions

1. Constructors’s All risk insurance

Contractors’ all-risk insurance (CAR) is a type of insurance that provides financial protection to contractors for various risks that may arise during a construction project. It covers sudden and accidental physical loss or damage to the insured property, including buildings, materials, and equipment.

What Does The Policy Cover?

• Damage to the project itself during construction
• Loss or damage to the contractor’s equipment
• Third-party injuries 
•  property damage caused by the project
• Accidental damage caused by fire, weather, or theft
• Costs associated with errors or omissions during construction (in some policies

What The Policy Doesn’t Cover?

• Normal wear and tear
• Faulty design or workmanship
• Willful negligence by the contractor
• Loss due to war, terrorism or nuclear events
• Contractual penalties or delays
• Loss of tools, money, or other valuables
• Gradual deterioration or rust

What can be additionally covered by payment of an extra premium?

• Damage to surrounding property
• Construction equipment
• Maintenance costs
• Increased construction costs due to unforeseen events
• Delay in project completion
• Additional liabilities like debris removal

 

2. Erection All Risk

Financial protection against loss or damage to equipment and property during a construction project’s installation phase is offered by erection all risk (EAR) insurance. It typically covers events like fire, theft, vandalism, and natural disasters.

What does the policy cover?

• Physical damage to machinery and equipment during installation
•  third parties caused by the Loss due to theft, vandalism, or riots during construction
•  Damage caused by natural disasters like fire, flood, or earthquake
•  Expenses due to errors or negligence during installation (depending on policy)

What does the policy not cover? 

Erection all risk (EAR) insurance typically excludes:

• Faulty design, defective materials, or poor workmanship
• Normal wear and tear
• Gradual deterioration of equipment
•  Losses due to war, nuclear incidents, or radioactive contamination
•  Consequential losses like loss of profit or delays in the project
•  Willful negligence or intentional damage

What can be additionally covered with payment of an extra premium?

• Earthquake (if not already covered in the base policy)
• Terrorism
• Clearance of debris following a covered loss
• Third-party liability (increased coverage)
•  Damage to surrounding property
• Increased project costs due to inflation
• Expedited shipping and overtime costs
• Additional customs duties
• Construction machinery and equipment (if not already covered)
• Maintenance visits and extended coverage. 
• Businesses are shielded against monetary losses by professional indemnity insurance.
• If a client makes a claim against it alleging that the business’s professional service was negligent.

 

3. Professional Indemnity Cover

What does the policy cover?

• Legal costs
• Compensation payments
• Damages: The insurance company may also cover any damages awarded to your client.

What does the policy not cover?

• Deliberate acts or omissions
•  commit fraud.
• Dishonesty
• Fines and penalties

Additional coverage is available with extra premium | T&C applied

• Cover for intellectual property infringement: This will cover you if you’re accused of infringing someone else’s intellectual property.
• Cover for run-off liability: This will cover you for claims made against you after your policy has expired and for work you did while the policy was in place.
• Cover for cyber attacks: This will cover you for losses arising from a cyber attack, such as data breaches.

 

4. Workmen’s Compensation Policy

Workmen’s compensation policy financially protects employees in case of work-related injuries or illnesses.

What does the policy cover?

•  Medical expenses for work-related injuries or illnesses. 
•  Lost wages caused due to temporary or permanent disability.
• Compensation for dependents in case of employee death due to work
• Rehabilitation costs

What does the policy not cover?

• Injuries caused by intoxication or self-inflicted acts.
• Injuries sustained outside the course of employment (e.g., during commute if not covered by the policy).
•  Intentional misconduct by the employee.
• Routine medical care or illness not related to work

Additional coverage available with extra premium:

• Increased benefit amounts for death or disability.
• Dependent life insurance.
•  Employee benefits extension to cover occupational diseases not included in the base policy.

 

5. Machinery Breakdown Policy

A machinery breakdown policy is an insurance policy that covers the cost of repair or replacement of machinery that breaks down due to unforeseen and sudden physical damage.

What does the policy cover?

• Repair or replacement of damaged parts of insured machinery.
• Costs associated with disassembly, inspection, and reassembly of machinery for repairs.
• Damage caused by mechanical breakdowns, electrical faults, and lubrication failures.

What does the policy not cover?

• Normal wear and tear of machinery.
• Faulty operation or neglect of machinery.
• Damage caused by external events like floods or earthquakes (unless additionally covered).

Additional coverage (may vary by insurer):

• Business interruption costs caused by machinery breakdown.
• Additional expenses incurred for expedited repairs.
• Removal of debris following a machinery breakdown.

 

6. Electronic Equipment Policy

An electronic equipment policy is an insurance policy that covers damage to electronic equipment caused by various perils.

What does the policy cover?

• Electrical surges, power outages, and short circuits.
• Mechanical breakdowns of internal components.
• Accidental damage from spills or drops.

What does the policy not cover?

• Software malfunctions or data loss.
• Gradual deterioration of equipment due to age or use.
• Cosmetic damage that doesn’t affect functionality.

Additional coverage (may vary by insurer):

• Theft of covered equipment.
• Vandalism or accidental damage.
• Equipment breakdown due to power quality issues.

 

7. Boiler and Pressure Plant Policy

A boiler and pressure plant policy is an insurance policy that covers damage to boilers and pressure vessels and potential liability for injuries or property damage caused by their failures.

What does the policy cover?

• Damage to the boiler or pressure vessel itself caused by explosion, implosion, or collapse.
• Property damage 
• Injuries to third parties arise from a boiler or pressure vessel incident.

What does the policy not cover?

• Damage is caused by neglect, improper maintenance, or faulty design.
• Normal wear and tear of the boiler or pressure vessel.
• Loss or damage due to external events like earthquakes or floods (unless additionally covered).

Additional coverage (may vary by insurer):

• Business interruption costs caused by a boiler or pressure vessel breakdown.
• Costs for inspection and testing of the boiler or pressure vessel.
• Remove debris following a boiler or pressure vessel incident.

 

8. Advance Loss of Profit (ALOP) Insurance

ALOP insurance protects businesses from financial losses due to delays in project completion. It covers the anticipated profits that would have been earned if the project had been finished on time.

What does the policy cover?

• Loss of gross profit due to a covered delay
• Increased operating expenses caused by the delay. 

What does the policy not cover?

• Delays caused by contractor negligence
• Delays due to foreseen events
• Loss of profits from other business ventures

Additional cover with extra premium

• Expediting expenses to minimise delays
• Increased cost of borrowing due to delays
• Loss of rent or lease income

 

9. Construction plant and machinery

Insurance specifically meant to shield contractors and companies against monetary losses resulting from the loss or destruction of construction equipment is known as “construction plant and machinery insurance.”

What does the policy cover?

• Protects against physical loss or damage to machinery and equipment.
• Covers damage due to fire, theft, vandalism, accidents, and natural disasters.

Equipments Covered What’s typically covered:

• Bulldozers
• Cranes
• Excavators
• Forklifts
• Generators
• Compressors
• Other construction equipment

What Does the policy not cover?

• Wear and tear
• Faulty workmanship
• Lack of maintenance
• Operator negligence
• Mechanical or electrical breakdown

Additional coverage available with extra premium:

• Third-party liability coverage
• Loss of profits due to equipment downtime
• Transportation coverage

10. Cyber and crime insurance 

Cyber Insurance covers financial losses due to cyber-attacks and data breaches. It covers costs associated with responding to and recovering from a cyber incident. Here’s a breakdown of what each policy typically covers and excludes, along with optional add-on coverages:

What does the policy cover?

• Data breach costs (e.g., notifying customers, credit monitoring)
• Cyber extortion (e.g., ransom payments, negotiation costs)
• Network security liability (e.g., lawsuits from customers whose data was breached)
• Business interruption (e.g., lost revenue due to a network outage)

What doesn’t the policy cover?

• Intentional acts by the policyholder
• System failures not caused by a cyber-attack (e.g., power outages)
• Losses not reported within the specified timeframe
• Acts of war or terrorism

Optional Add-on Coverages for Cyber Insurance

• Crime coverage (e.g., employee theft)
• Errors and omissions coverage (e.g., mistakes made by your employees)
• Regulatory fines and penalties (e.g., for data privacy violations)

 

11. Standalone terrorism insurance 

Standalone terrorism insurance offers financial protection for businesses during business interruption caused by a terrorist attack. It is separate from a general commercial property policy and can offer broader coverage.

What does the policy cover?

• Property damage: Physical damage to insured property caused by a terrorist act.
• Business interruption: Loss of income or revenue due to a terrorist attack.

What does the policy not cover?

• Acts of war: Military action or war declared by a government.
• Cyberterrorism: Attacks using electronic means to damage computer systems or networks.
• Nuclear, biological or chemical attacks
• Government confiscation of property: Seizure of property by a government authority.

Additional coverage available with extra premium:

• Increased coverage for terrorism-related business interruption: Provides higher limits for business income loss after a terrorist attack.
• Terrorism-related extortion costs: Covers costs associated with responding to extortion threats made by terrorists.
• Crisis management expenses: Pays for professional help with managing the aftermath of a terrorist attack, such as public relations and counselling.

 

12. General Liability Insurance 

General liability insurance safeguards businesses from financial losses arising from third-party bodily injury, property damage, and personal injury claims.

What does the policy cover?

• Bodily injury: Covers medical expenses if someone gets injured on your business premises.
• Property damage: Pays for repairs if your business operations cause damage to someone else’s property.
• Personal injury: Protects against claims like slander or libel.

What does the policy not cover?

• Employee injuries
• Punitive damages
• Intentional acts
• Professional mistakes

What can be additionally covered with payment of extra premium

• Errors and omissions insurance
• Excess liability insurance
• Employment practises liability

13. Group health insurance

Group health insurance is a type of health coverage designed for a group of people, often provided by employers or organisations. It offers financial protection against medical expenses incurred by members, promoting overall well-being within the group.

What does the policy cover?

• Hospitalisation expenses: Covers costs associated with in-patient medical care.
• Medical bills: Covers expenses incurred for doctor visits, medications, and other treatments.
• Pre-existing conditions: Often covered with a waiting period.

What does the policy not cover?

• Dental and vision care: Typically covered by separate insurance plans.
• Cosmetic surgery: Usually not covered unless medically necessary.
• Experimental treatments: Excluded due to lack of proven effectiveness.

What can be additionally covered with payment of extra premium

• Dental and vision insurance
• Accident insurance
• Critical illness insurance

 

14. Group Personal Accident Insurance:

Group personal accident insurance safeguards a group, often employees of a company, against financial repercussions of accidents. It provides financial assistance in case of accidental death, disability, or medical expenses arising from an accident.

What does the policy cover?

• Pays a lump sum to the nominee in case of the insured’s accidental death.
• Provides financial support if an accident renders the insured permanently unable to work.
• Offers financial compensation for permanent loss of function due to an accident.
• Covers hospital bills and other medical costs incurred following an accident.

What can be additionally covered with payment of extra premium?

• Intentional injuries
• War, terrorism, and other violent acts
• Certain high-risk activities

 

 15. Group Term Life Insurance:

Group term life insurance is a type of life insurance offered through employers or organizations to a group of people, typically at a lower cost than individual policies. It provides a death benefit to the beneficiary if the insured individual passes away during the coverage period.

What does the policy cover?

• Pays a designated amount to the beneficiary upon the insured’s death during the policy term.
• Accidental death benefit (optional): Provides an additional payout if the death results from an accident.
• Waiver of premium rider (optional): Excuses the beneficiary from paying future premiums if the insured becomes totally disabled.

What does the policy not cover ?

• Death due to pre-existing conditions (unless covered after a waiting period)
• Suicide within the first policy year
• War, terrorism, and other violent acts

What can be additionally covered with payment of extra premium

• Accidental death benefit
• Waiver of premium rider

Summary: Infrastructure projects are complex and often accompany various risks. iCare’s Infrastructure insurance protects stakeholders from financial losses due to unexpected events. It covers a wide range of risks, including project delays, cost overruns, property damage, and accidents. Different types of insurance are available, including contractor’s all-risk, erection all-risk, professional indemnity, workmen’s compensation, machinery breakdown, electronic equipment, boiler and pressure plant, etc. These insurances can be customised to fit the specific needs of a project and can cover aspects like business interruption, legal costs, and additional liabilities.