Construction and Erection All Risks Insurance
This type of insurance covers a wide range of risks connected not only with the actual process of carrying out construction and erection work, but also with the risks of loss of property located on the construction site: building materials, construction machinery and temporary structures.
1) What does a construction and erection all risks policy cover?
A standard Construction and Erection All Risks policy consists of two main sections:
Section 1. Material Damage
Losses incurred by the Policyholder during construction or erection, i.e. damage to the contract works, materials and equipment. In addition, it is possible to insure construction machinery, temporary work camps, and property in transit and in storage.
Section 2. Third-Party Liability Insurance
Damage connected with the policyholder's liability to compensate third parties. This may be damage to the life and health of third parties or material damage to the property of third parties. It is understood that third parties do not include employees of the Policyholder and/or of contractors working on the construction site.
It is also possible to include in the policy insurance of losses resulting from an interruption of construction and a delay in commissioning the construction project.
Section 3. Insurance of Losses Resulting From Interruption of Construction and Delay in Commissioning of the Construction Project
Expenses are compensated in the event of an interruption of construction caused by one of the insured events, in the amount of the Customer's gross income that could have been received during the operating period of the construction project had such a delay not occurred.
2) Who can be the Policyholder?
• The Customer
• The general contractor
• Contractors / subcontractors
• Other persons who, in accordance with the legislation of the Republic of Kazakhstan, carry out construction and erection work and have a property interest in the construction project, construction equipment, materials and other property used in construction and erection work.
3) Insured Risks
Losses are compensated on an “all risks” basis, i.e. those resulting from the loss of or damage to the insured object from any unforeseen and sudden event, in particular (but not limited to) the following risks:
• fire, explosion, lightning, impact of aircraft or objects falling from above;
• tornado, hurricane, typhoon, storm;
• avalanche, mudflow;
• flood, high water;
• collapse, landslide, subsidence of the ground, rise of groundwater;
• earthquake;
• malicious acts of third parties, burglary and theft in particular, but also other malicious damage specified in the policy as insured risks;
• damage to utility networks (water supply, sewerage, heating and electricity);
• poor quality of work;
• collapse of the construction object and damage resulting from the collapse;
• other unexpected or unforeseen events at the construction site that are not separately specified in the insurance policy.
4) Policy Period
The policy is valid until the date specified in the insurance contract, but not beyond the date of completion of the construction work. The policy may also cover the handover/commissioning period and commissioning tests, as well as the post-commissioning warranty period.
5) How to Find Out the Preliminary Cost and Terms of Insurance.
Fill in the attached questionnaire or provide the following information about the insured object:
• Purpose of the construction object;
• Materials of the walls, roof and floors;
• Location of the construction site;
• Name of the Customer / Main Contractor and the contractor's experience;
• Estimated cost of the contract works;
• Use of unique technologies, experimental work, etc.
• Description of the foundation, height, number of buildings, area occupied;
• Description of nearby buildings and structures
2026 update: construction and erection insurance is structured around the project, work stages, equipment, contractors and liability to third parties. Before work starts, agree the insured value, period of cover, limits, deductibles, exclusions and the procedure for notifying changes to the project.
Construction and Erection All Risks Insurance (CEAR)
An insurance programme for customers and construction companies. It provides comprehensive protection of property interests connected with the construction, erection and repair of construction projects.This type of insurance covers a wide range of risks connected not only with the actual process of carrying out construction and erection work, but also with the risks of loss of property located on the construction site: building materials, construction machinery and temporary structures.
1) What does a construction and erection all risks policy cover?
A standard Construction and Erection All Risks policy consists of two main sections:
Section 1. Material Damage
Losses incurred by the Policyholder during construction or erection, i.e. damage to the contract works, materials and equipment. In addition, it is possible to insure construction machinery, temporary work camps, and property in transit and in storage.
Section 2. Third-Party Liability Insurance
Damage connected with the policyholder's liability to compensate third parties. This may be damage to the life and health of third parties or material damage to the property of third parties. It is understood that third parties do not include employees of the Policyholder and/or of contractors working on the construction site.
It is also possible to include in the policy insurance of losses resulting from an interruption of construction and a delay in commissioning the construction project.
Section 3. Insurance of Losses Resulting From Interruption of Construction and Delay in Commissioning of the Construction Project
Expenses are compensated in the event of an interruption of construction caused by one of the insured events, in the amount of the Customer's gross income that could have been received during the operating period of the construction project had such a delay not occurred.
2) Who can be the Policyholder?
• The Customer
• The general contractor
• Contractors / subcontractors
• Other persons who, in accordance with the legislation of the Republic of Kazakhstan, carry out construction and erection work and have a property interest in the construction project, construction equipment, materials and other property used in construction and erection work.
3) Insured Risks
Losses are compensated on an “all risks” basis, i.e. those resulting from the loss of or damage to the insured object from any unforeseen and sudden event, in particular (but not limited to) the following risks:
• fire, explosion, lightning, impact of aircraft or objects falling from above;
• tornado, hurricane, typhoon, storm;
• avalanche, mudflow;
• flood, high water;
• collapse, landslide, subsidence of the ground, rise of groundwater;
• earthquake;
• malicious acts of third parties, burglary and theft in particular, but also other malicious damage specified in the policy as insured risks;
• damage to utility networks (water supply, sewerage, heating and electricity);
• poor quality of work;
• collapse of the construction object and damage resulting from the collapse;
• other unexpected or unforeseen events at the construction site that are not separately specified in the insurance policy.
4) Policy Period
The policy is valid until the date specified in the insurance contract, but not beyond the date of completion of the construction work. The policy may also cover the handover/commissioning period and commissioning tests, as well as the post-commissioning warranty period.
5) How to Find Out the Preliminary Cost and Terms of Insurance.
Fill in the attached questionnaire or provide the following information about the insured object:
• Purpose of the construction object;
• Materials of the walls, roof and floors;
• Location of the construction site;
• Name of the Customer / Main Contractor and the contractor's experience;
• Estimated cost of the contract works;
• Use of unique technologies, experimental work, etc.
• Description of the foundation, height, number of buildings, area occupied;
• Description of nearby buildings and structures