An important part of your toolkit to get the job done with less stress and worry

An important part of your
toolkit to get the job done.

Remove the uncertainty

There are a number of things that can go wrong during construction that can cause considerable financial loss, that’s why it’s important to manage your risks during all stages of construction.

Remove the uncertainty

What is Contract Works insurance?

When you’re working on a construction site, plenty of things can go wrong. Damage or loss to a building could cost you time, money and even your reputation. Meanwhile, an onsite injury can result in considerable pain, stress and financial loss.

That’s why having the right amount and type of contract works insurance is an important part of your business toolkit, allowing you to get on with the job with less stress and worry.

Who should consider it?

Contract works insurance is recommended for small, medium and large commercial, industrial and domestic builders, sub-contractors and owner builders.

Most owner builders take out contract works insurance for a specific contract, while professional builders generally choose an annual policy that covers multiple contracts.

Not all policies are the same. Exclusions, the excess you need to pay and limits of liability can vary greatly depending on your insurer. That’s why our our specialist broking team members get to know your business enabling them to provide considered advice delivering you the best policy for your specific needs.

Touch base with us to learn how we can help you.

HDL, the right partner for you.

Did you know?

4th in Serious Claims

The construction industry had the fourth highest rate of serious claims in 2012-13.

(Safe Work Australia, Construction Industry Profile, 2015)

1%

According to the NSW Police, theft from housing construction sites accounts for 1% of the cost of a new home.

(NSW Police Force, Preventing Building Site Theft, 2018)

$25M

WA building industry’s anti-crime group, Busted, states that each year, building site theft costs the sector almost $25 million.

(ABC, ‘Regional residents urge to keep watch for building site theft’, 2014)

What can it cover?

Contract works insurance can cover the building which is under construction, whether it’s a kit home, straw bale or mud brick home, multi-story apartment or commercial buildings. It can also cover the equipment used in construction, as well as public liability risk.

Depending on your policy, contract works insurance can cover you against:

Type of cover	Potential benefits
Property damage	Physical loss or destruction of tangible property, plant and equipment as well as removal of debris.
Public Liability	Sub-contractor liability, products liability and cross liability.
Product liability (only available from some insurers)	Third party personal injury or property damage resulting from an occurrence caused by your products after they cease to be in your possession or control.
Legal expenses/defence costs	Legal costs and expenses you are legally liable to pay following legal proceedings brought by or against you.
Existing structures (optional cover)	Sudden and accidental physical damage to existing structures caused by natural events and the actions of the builder or contractor.

Case study

After working for other construction company owners all his working life, Peter starts his own small earthmoving firm. In the first couple of years, he borrows money and invests much of his income back into the business, buying the latest equipment and a work vehicle.

After starting work on a new construction at a new site, he leaves his tools and equipment locked in a garage on the site overnight. But that night, thieves break into the garage and steal Peter’s tools, worth $25,000.

Peter contacts his insurance broker who helps him put in a claim. He’s quickly reimbursed for his loss, so he isn’t out of pocket and can keep his business running.

Complimentary Review

Securing optimal insurance protection is becoming more challenging.

Having a fresh set of eyes can make a dramatic difference. HDL welcomes the opportunity to evaluate and challenge your current risk and insurance program in a confidential manner that avoids disrupting existing relationships.