1. Builder’s insurance against all risks:

Typically, during the contract negotiation stage, when it is not yet clear which party will accept which responsibilities, which party will be responsible for purchasing the insurance and absorbing deductibles, etc., both parties further examine the breadth of the Coverage. PUB.

We can say that Builder’s Risk Insurance for the business energy class provides coverage in three different ways:

1. Risk Clauses 1.6.88 (CL 351) of the London Institute Builder – or US equivalent
2. WELCAR form
3. Custom forms tailored to specific risks or Owners or shipyards.

Is the protection provided by all BAR policies the same? No! For a comparison between wording, contact a trusted insurance broker of your choice.

2. Risks of war and strikes, riots, civil commotions (SRCC):

For. Risks of the builder of war clauses of the Institute 1/6/88 (CL 349) –

Coverage begins once the boat is launched (or wet) and provides coverage for loss or damage to the insured boat / rig caused by:

• war, civil war, revolution, rebellion, insurrection or civil strife arising therefrom, or any hostile act by or against a belligerent power
• capture seizure arrest restraint or detention, arising from the dangers mentioned above, and the consequences thereof or any attempt thereof
• abandoned mines, torpedoes, bombs or other abandoned weapons of war.

B. Institute of strike clauses Risks for builders 1/6/88 (CL 350) –

Provides coverage for loss or damage to the insured vessel / rig caused by:

• strikers, unemployed workers, or people involved in labor disturbances, riots, or civil commotion
• any terrorist or any person acting maliciously or politically motivated.

We recommend that this coverage be modified to include vandalism and malicious mischief.

Please also check if the terrorism coverage provided under this clause is restricted or expanded, or if there are other applicable clauses such as Sabotage and Terrorism Approvals. In either case, make sure the coverage provided is appropriate for your Client so that your Client makes an informed decision.

3. Responsibility – Insurance coverage that protects the insured against claims from third parties for damages to their property or person. These losses are usually caused by the negligence of the insured. In marine construction, this policy refers to an MGL maritime general liability policy. In non-maritime circumstances, the policy is known as a CGL, general commercial liability policy. The construction contract must determine which parties are liable in which cases for losses of a third-party liability nature.

Insurance policies can be divided into three broad categories:

1. Product Liability – Protection against manufacturer’s liability for injury or property damage after the sale of a manufactured product. Extraordinary liability accompanies the manufacture of a product.
2. Completed Operations – Protection against contractor liability for injury or property damage suffered by third parties as a result of the contractor completing an operation.
3. “Trips, Falls and Damage” – Protection against injury or property damage to the premises or helmets under the care, custody and control of a party.

4. General liability – This type of liability insurance provides protection against excess liability. Your business needs this coverage for the following reasons:

• It provides excess coverage over all the “underlying” liability insurance that is carried out.
• Rather than buying a large limit on all policies of an insured, this structure allows the insured to buy coverage once to sit on top of multiple policies, thus increasing the limit for many policies.
• We recommend that this coverage provide automatic replacement coverage for underlying policies that have been reduced or exhausted by the loss.

5. Additional coverages available for consideration during the construction phase:

1. Cargo / transit insurance: to protect against all risks of loss or damage to shipments of material, equipment, etc. that will be part of the construction (i.e. surfaces from Russia to the UK)
2. Maritime delay in start-up: to protect against loss of profits plus additional expenses due to delayed arrival of critical components; for example, due to the propellants being dropped into the water during the loading of the ship, resulting in a 3-month delay in the project (due to the delay in ordering specific propellants required per specification)
3. Hull and machinery and protection and compensation insurance: to protect against all risks of loss or damage to the boat / platform, and the responsibilities derived from the boat / platform, during transport after completion in the shipyard (for example, if the delivery is not ex-Patio, but at the final drilling site)
4. Hull and machinery insurance and protection and indemnity: to protect against all risks of loss or damage to any vessel / crane barge that can be used to assist in the construction of the vessel / platform.
5. Liquidated Damage Insurance – to protect against penalties for breach of agreement; for example, due to late delivery of the unit due to losses of type BAR
6. Political risk insurance – to protect a foreign entity against losses incurred due to the nature of political risk (including confiscation, nationalization, expropriation, selective discrimination, contract frustration, inconvertibility, and non-transfer of funds, etc.)
7. Professional Indemnity Insurance (PI): to protect against legal liability arising from any negligent professional act, error or omission in the provision or non-provision of professional services by an Insured. We recommend that you look at the design and engineering work and the contractual requirements and tracking records involved in the platform, and see what protections already exist.

The standard requirements of both the owners and the shipyard:

1. Workers’ Compensation / Employer Liability as Required by Applicable Statute
2. Automobile liability as required by applicable statute

6. Coverages available for the post-delivery of the shipyard (related to the construction phase):

1. After a unit is handed over to an owner, discovery and maintenance coverage is generally purchased.
2. Warranty coverage is also possible.

What is the difference between a builder’s risk policy maintenance coverage and warranty coverage?

Tea Maintenance cover it is simply an extension of the builder’s risk policy, which in this case survives the delivery of the boat to the owner, and the coverage is not broader than that contained in other parts of the policy, subject to all conditions and exclusions of that policy.

Tea Warranty coverage It is a protection “attached” to the Contractual Guarantee Clause from the Insured to the Owner. This means that the Guarantee Clause of the contract becomes a reality in the insurance condition of the Guarantee Policy.