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Contractors All Risks
The basic concept is to offer comprehensive and adequate protection against loss or damage in respect of the contract works, construction plant and equipment and/or construction machinery, as well as against third-party claims in respect of property damage or bodily injury arising in connection with the execution of a building/civil project.
This is a form of accident insurance for machinery, mechanical and electrical equipment. The cover is for sudden and unforeseen physical loss or damage and excludes normal wear and tear.
Covers loss or damage to the equipment from accidental causes (fire, lightning and certain elemental perils are usually insured under a separate fire policy).