Construction and renovation insurance
Here is one thing most owners do not know until it is too late: ordinary property insurance excludes damage that occurs during construction and repair work. That means that while a building is being renovated, the existing policy is not protecting it.
One Estonian insurer states it directly: when an apartment building is renovated, a property insurance contract is not enough.
What the product is
Contractors all risks insurance, known internationally as CAR. It covers the construction site from the start of the work until the finished building is handed over:
- The work agreed in the construction contract, and the building materials
- Site equipment, tools and installations
- Costs following a claim, such as overtime, express deliveries and clearing debris
- Liability towards third parties
It applies to construction, renovation, reconstruction, assembly, demolition and installation work.
A practical piece of advice
The simplest way to protect yourself is to write the requirement into the building contract itself: the contractor must hold valid contractors all risks cover and must produce the policy before the work starts. That way it does not fall to you and it does not get forgotten.
If you are building yourself, or you are the client, you can take out the policy in your own name. For a larger apartment association renovation this is effectively a necessary step.
Ask for offers
Fill in the form and Anna-Liisa will get in touch. She advises as a partner of NB Kindlustusmaakler, an Estonian insurance broker. The service is free for you. We find offers from the insurers and send you a comparison by email.
Other types of insurance
- Home and property insurance. A flat or a house, contents, letting.
- Apartment association insurance. Common property and association liability.
- Commercial property insurance. Office, retail, warehouse, production.
- Technical systems and equipment. Boiler, heat pump, ventilation, lift.
- Legal expenses insurance. Rental and other disputes.