Construction all-risks insurance – comprehensive cover for construction projects

Builders and principals are confronted with a wide range of risks. Risks can be of external origin, an outbreak of fire, extreme weather conditions, theft and destruction of property. Material defects or improper conduct by construction workers can have an equally serious impact and lead to unforeseen physical damage to property on the construction site. HDI construction ‘all risks’ insurance provides cover for such exposures . ‘HDI BAUplus’ provides the appropriate level of insurance cover for major construction projects in Germany. This special project policy covers fundamental exposures, such as construction, liability and weather risks.

Scope of services at a glance

Construction all-risks insurance and BAUplus

Insurance cover for structural and civil engineering projects of all kinds. Associated construction materials, components and temporary structures are also included.

In the event of a claim, HDI construction ‘all risks’ insurance reimburses to an agreed extent the costs required to clean up the site of the damage and restore it to the pre-loss condition. The sum insured consists of the costs of all construction work (labour costs and the replacement value of all construction materials supplied) not including gardens and ancillary construction costs. The policyholder can also insure against damage caused by fire, lightning or explosion and loss caused by theft of project-dedicated components and materials. HDI construction ‘all risks’ insurance covers principals for the risk of having to pay building contractors for services already rendered.

‘HDI BAUplus’, our special construction project policy for the German market, provides comprehensive insurance cover for construction projects of a value of 25 million Euros or more. Insurance cover consists of three integral components: construction ‘all risks’ insurance, public liability insurance and professional liability insurance. The latter pays for all third-party damage/losses caused by operational activities during the course of the construction project. For example cover is provided for errors made by project managers during the contract works tendering process. Four other modules that can be included to deliver peace of mind: construction advanced loss of profit insurance, environmental liability insurance, environmental damage insurance and ‘KLIMArisk’ – weather risks insurance.


Insurance cover also applies to contractors

Construction companies with worldwide operations can be covered via an international insurance programme.

High level of insurance cover capacity

HDI has sufficient capacity at its disposal to insure major projects.

Comprehensive insurance against construction-project risks

‘HDI BAUplus’ provides insurance in Germany against the fundamental risks involved in larger construction projects such as construction and liability risks to environmental hazards and weather risks.

Access to professional loss adjusting service

HDI ‘s claims management service includes causation investigation and loss adjusting services backed up by reliable claims settlement.

Risk Consulting

Skilled risk advice and support

HDI Risk Consulting (HRC) service is provided in line with the relevant safety and security-related requirements in the form of local inspections with central co-ordination. Subject to services agreed Engineers from HRC check e.g. the state of construction sites as well as the performance of construction work, for example in relation to the quality of welding. Recommendations how to reduce or avoid the risks identified are proposed to construction site management. The risk engineers also can assist to identify quality problems caused by subcontractors or in prefabrication facilities.

Experts’ tip

Drafting emergency action plans

Have you drafted an emergency action plan as part of your project planning process? In the event of extreme weather conditions or an outbreak of fire, it is essential to take prompt and effective damage-limitation action, thereby reducing the extent of damage or loss.

Why not speak with our experts.