An erection all risk policy is designed to cover the risks associated with the installation of machines/equipments or composite projects.

  • The policy is normally designed to meet the requirements of those involved in the erection of a project either as a principal, contractor or sub-contractor.
  • Risks associated with construction of Factory sheds, plants, warehouses, runways, bridges, dams, buildings, hangers, air-taxiways etc can be covered.


Scope of Cover- EAR Policy

  1. Location risks – Fire, Lightning, Theft, Burglary etc.
  2. Handling risks- Collision, failures of cranes or tackles, impact of falling objects.
  3. Testing & Commissioning Risks: Failure of safety devices, short Circuit, Explosion.
  4. Risk of Human Element: Carelessness, negligence, faults in erection, Strike & riot, Malicious damage, Terrorism.
  5. Acts of GOD: Flood, Storm, Tempest, Inundation, Landslide, Earthquake.



  • Loss due to faulty design, defective material, or casting and or bad workmanship.
  • Loss or damage due to erection machinery and equipment due to mechanical/electrical breakdown.
  • Loss or damage due to willful act or willful negligence
  • Loss or damage due to war
  • Loss or damage due to nuclear reaction