Erection All Risk

Extensions

Express freight (excluding air freight), holiday and overtime rates of wages
Air Freight
Additional customs duty
Contractor's Plant and Machinery equipment upto sum insured of Rs.25 lacs or 5% of EAR/SCE sum insured, whichever is lower
Premium for periods beyond policy period and discounts/loadings on them based on claims experience.
Testing period extensions
Delay in start up (DSU) / Advanced Loss of Profits (ALOP) covers
Storage risks at the fabricators premises/workshop unless specifically covered for
Custom duty unless specifically covered for
Expenses towards clearance and removal of debris unless specifically covered for
Third party liability covers beyond limits stipulated vide section 14-A of tariff
Cross liability, civil works, surrounding property coverages unless specifically covered for
Escalation beyond 50% of EAR/SCE sum insured
Surrounding property excludes construction /erection machinery, plant and equipment

Exclusions

War and Nuclear group of perils
Wilful act / negligence
Loss discovered at time of taking inventory
Normal wear and tear; Gradual deterioration due to atmospheric conditions or otherwise, rust
Scratching of painted or polished surface, Breakage of glass
Loss or damage due to faulty design, defective material or costing and bad workmanship (limited to items immediately affected)
Cost of rectification or correction of any error during erection not resulting in physical loss or damage
Damage to files, drawings, accounts and bills etc.
Penalties for non-fulfilment of contractual obligations
Consequential losses
Aesthetic defects
Operational deficiencies
Costs of any alterations, additions and/or improvements after a claim
Contractor's Plant and Machinery loss or damage by its own explosion/mechanical electrical breakdown/derangement
Exclusions for Third Part Liability
(1) Excess as per policy
(2) Property covered in material damage
(3) Employees and their family members and property of principal / contractor/sub-contractor
(4) Accidents caused by road, water and airborne vehicles
(5) Contractual liabilities