Erection All Risk Insurance Policy

During an erection project (i.e. machinery, plant or equipment) at a manufacturing unit, you need to protect your investment. Even small damage to a component can cause heavy financial losses. The Erection All Risks/Storage-cum-Erection Insurance policy by IndusInd General Insurance (previously, Reliance General Insurance) gives your project a continuous cover, right from the time the first consignments are received at the site location till final testing of machinery/plant /equipment.

Coverage against the erection or installation of machinery, plant and equipment, ranging from the erection of a single machine to a large manufacturing unit. Protects the business from the physical loss or damage of contract work from perils such as fire, lightning and natural catastrophe. This policy also covers legal liability claims arising from third-party bodily injury and property damage.

Why Choose Us?

A health insurance plan covers for these unexpected medical expenses, ensuring you don't have to bear the financial burden. You can focus on getting the medical care you need without worrying about the cost. In simple terms, health insurance helps you to reduce or avoid a larger financial stress by paying a comparatively smaller premium.

Accessible for All*

Designed for all business types.

Quick Claims Process*

Quick process with our app

24/7 Customer Support*

Dedicated team for all queries

Complete Protection*

Covers legal costs and liabilities

Benefits of IndusInd Erection All Risk Insurance Policy

Extensive & Customised Coverage

IndusInd Erection All Risks/Storage-cum-Erection insurance offers material damage and third-party liability cover with cross liability. Additional customs duties, off-site storage, and related costs are covered by the insurance to provide broader coverage. This policy can also be designed to suit the requirements of an engineering project.

Complete Coverage

IndusInd Erection All Risks/Storage-cum-Erection insurance policy provides coverage for all the stages of an under-erection project that involves storage, testing, maintenance or commissioning. We also offer an extended maintenance period for a 12 to 24-month period to ensure you get sustained and comprehensive protection.

Affordable Premium

IndusInd Erection All Risks/Storage-cum-Erection insurance offers an affordable premium with the option to pay premiums in installments if the policy tenure is more than 12 months. This ensures you not only get high coverage but also that coverage remains accessible by providing flexible payment options under our policy.

What does IndusInd Erection All Risk Insurance Policy cover?

Material Damage Coverage

The policy offers protection for machinery, plant, equipment, civil work and other material work at the project site
It covers perils like fire, lightning, burglary, explosion, and natural disasters such earthquake & floods etc.
Along with material damage coverage, it offers additional add-on coverage like additional customs duty, express freight, wages & other related expenses, escalation etc.

Third Party Coverage

The policy covers liability for fatal or non-fatal bodily injury to any third party, other than the Insured’s employees or family members, directly due to the erection of insured property.
It covers liability arising due to damage of third party property or property held in trust or under custody of the insured.
It also offers extension of cross liability under this coverage wherein a claim by co-insured could also be defended.

Bigger projects mean bigger risks

Call now to insure it all

Call Us

IndusInd Erection All Risk Insurance: Add ons

Design defect cover

Escalation clause

Removal of debris

Extended maintenance

72 Hours

Co- Insurance

Waiver of contribution

50:50 Clause (Subject to project marine policy issued by RGIC)

Public authority clause

Owners Surrounding Property (With or Without FLEXA Coverage)

Clause Automatic Reinstatement

Clause Loss Minimisation

Expenses Debris Removal

Professional fees Cover

Third Party Liability (With or Without Cross Liability)

Waiver of Subrogation Clause

Escalation costs

Expediting cost

Maintenance Cover (Extended or Limited)

Design Defect Cover

Additional Custom Duty Cover

What Does the Erection All Risk Insurance Not Cover?

Loss or damage due to faulty design,
Defective material or casting and bad workmanship
Cost of rectification or correction of any error during erection not resulting in physical loss
Damage to files, drawings, accounts and bills
Scratching of painted or polished surfaces, breakage of glass, and aesthetic defects
War and nuclear perils, and consequential losses
Willful act/ negligence,
Loss discovered at the time of taking inventory,
Normal wear and tear
Penalties for non-fulfilment of contractual obligations,
Operational deficiencies
Costs of any alterations, additions and/or improvements after a claim
Third-party liability,
Contractual liabilities
Accidents caused by road, water and air-borne vehicles
Terrorism Damage Coverage

Disclaimer: For complete list of exclusion & coverage details please refer to the policy wording of Erection All Risk Policy

Author - Amount Health Insurance

IndusInd General Insurance

Aapke Protection ka All-rounder

IndusInd General Insurance is one of the leading general insurance companies in India. The Company offers a well-rounded and comprehensive bouquet of products including Motor Insurance, Health Insurance, and Travel Insurance, and offers customised solutions to meet the protection needs of each customer.

Homepage alternate CX

Engineering Insurance - Disclaimer

AI Content Summarizer

Asset Publisher

Frequently Asked Questions (FAQs)

What is Erection All Risk (EAR) Insurance?

EAR Insurance provides coverage against physical loss or damage during erection and installation of machinery, plants, equipment, and related civil works. It also covers third-party liability for bodily injury or property damage arising from insured project activities.

Who Should Buy EAR Insurance?

Contractors, Sub-contractors, Project Principals/Owners, Purchasers and Suppliers of equipment, Manufacturers of equipment, and Turnkey Contractors.

What is Covered under an EAR Policy?

Physical loss or damage due to fire, lightning, natural calamities, and other risks during erection. It also covers third-party legal liability for bodily injury or property damage.

Who Can Be Insured under EAR?

Contractors, Sub-contractors, and Project Principals. The policy covers the entire erection process at a defined project site for the specified duration.

What are the Types of EAR Policies?

• Policy for projects up to ₹100 Crores • Policy for projects above ₹100 Crores

What Add-on Covers are Available?

Owner’s Surrounding Property, 50/50 Clause, 72 Hours Clause, Automatic Reinstatement Clause, Loss Minimization Expenses, Debris Removal, Professional Fees, Offsite Storage Cover, Third-Party Liability (with/without Cross Liability), Waiver of Contribution, Waiver of Subrogation, Escalation Costs, Expediting Costs, Maintenance Cover, Design Defect Cover, Additional Customs Duty, Cover for Valuable Documents. (Refer to policy wording for full list.)

What is the Duration of Cover?

Cover starts from arrival of the first consignment at the project site and ends on policy expiry or completion of final testing, whichever is earlier. It may be extended if the project is delayed, subject to insurer approval.

What is Not Covered under EAR Policy?

Willful negligence, stoppage of work, faulty design and consequential losses, war/terrorism/radiation contamination, and injury to own workmen (covered under separate Workmen’s Compensation policy). (Refer to policy wording for complete exclusions.)

How is the Premium Computed?

Premium depends on project type, duration, sum insured, project location, and selected add-on covers.