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FREE BUILDING INSURANCE







SUMMARY:

If you enroll your project prior to any works commencing any work undertaken by an authorised Dial a Contractor contractor will enjoys free builders insurance cover for the value of the works as contracted. If the project is not enrolled as required as set out below then unfortunately we cannot extend free builders insurance cover.

A contractor’s all risk insurance policy is appropriate for most kinds of construction projects. It includes anything from private houses, cluster homes and small blocks of flats up to large-scale projects such as shopping centres, sugar mills, power stations and refineries. This type of policy typically covers construction works against damage caused by storms, fire, water, subsidence, collapse, landslips, earthquakes, cyclones, theft, transit and malicious actions. As with all insurance, contractor’s all risk cover has its limitations even though it has ‘all risk’ in its name. Also note that existing structures are not covered when doing alterations and additions. However, there should already be an insurance policy to cover these, which should remain effective while work is taking place.

ENROLMENT

  • Prior to any works commencing send a notification to peter@dialacontractor.co.za telling us that you have accepted a quote.
  • Attatch a copy of the signed quote and proof of deposit.
  • We will check our records to make sure the contractor is still a member of the panel and that cover is in place.
  • You are only covered once you receive official notification thereof.

REQUIREMENTS FOR COVER

  • The original service request must have been submitted directly through our website.
  • The cover only applies for services requested on the original service request, services not stipulated on the original service request will not be covered by the insurance, unless you advise us of any additional work prior to it commencing and you provide us with proof.
  • The claim must be made by the original customer who submitted the original service request to our website.
  • The cover only applies to contractors that are on our panel at the time of signing the quote prior to commencing work (please check with us.)
  • The claim must meet the specified time requirements.
  • All the necessary documentation must be provided by the customer.
  • You must make a good faith effort to resolve the dispute with the contractor directly before submitting a claim
  • The customer must not hold any responsibility for the property damage.
  • Once damage has occurred the customer thereafter has 2 weeks to report this and make a claim. Submitting a claim outside of this period will result in the claim being rejected.

TERMS & CONDITIONS:

The customer is liable for any excess which will be deducted from the principal amount claimed.

Dial a Contractor ensure that all appointed contractors are covered under your Contractors All Risks Insurance Policy subject to the terms and conditions set out in the policy contract. Policy wording available on request.

Applicable extracts from contract:





In normal language what does the policy cover:

The main thrust of the cover is to cover the contractor for work done, it often happens that storm damage mid build costs the contractor thousands, and most importantly surrounding property liability claims. Just to clarify the policy covers Contract Works with a contract limit of R5m and Contractors Third Party Liability of R2m – The Surrounding Property limit is R250k (this is for any property located on, or adjacent to, the construction site, which is held in your custody and or control).

An example of a surrounding property claim would be “ we are instructed to fit new doors, adjustments need to be made to the frame and lintels, the wall collapses damaging the entire content of a TV lounge” we would become contractually liable for the damages.

Here are five scenarios where you will not be protected by your builders risk policy:

#1: Overlapping Liability Coverage
While your builders risk policy might overlap with your liability insurance in certain areas, your builders risk insurance typically won’t cover liability issues that could be covered by other policies. For example, your policy may not cover an accident if the insurance company determines that the incident was caused by negligence by you or another insured party. In that case, you may need general liability insurance instead.

#2: Faulty Workmanship
This includes faulty design and materials as well as faulty workmanship. Builders risk insurance only covers certain accidents, and faulty workmanship typically isn’t covered under this policy.

#3: Intentional Damage
While builders risk insurance may cover acts of vandalism, this only applies to damage done by third-parties. If you or any of the other insured parties covered under your policy intentionally damage the property or your materials and equipment, the insurance company will not cover the loss. Make sure you, your employees, and your subcontractors conduct themselves professionally to avoid having to pay for intentional damages.

#4: Wear and Tear
Builders risk insurance is intended to protect you from damages that occur on a construction project during the course of construction. Natural wear and tear on project supplies or equipment is typically the result of long-term weathering and use rather than a specific occurrence, and this is outside the coverage of a builders risk policy. It’s important to invest in regular maintenance of your tools and invest in quality supplies.

#5: Extreme Events
Your builders risk coverage may exclude certain extreme natural incidents such as floods or earthquakes- be sure to read through the policy before purchasing if you think your project is at risk of either of these events. If you are working on a project in a flood zone or along a fault line, your insurance carrier may offer supplemental coverage in the form of flood or earthquake insurance.
Additionally, there are certain extreme events that may be caused by a third-party that your builders risk insurance may not be able to cover. This can include nuclear risks, acts of terrorism, and acts of war.


For more details or to claim email peter@dialacontractor.co.za
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