EAR is the other branch of contract works insurance (EAR) which essentially covers all risks involved in the erection and installation of machinery, plant & equipments and steel structures of many different types. EAR insurance policy protects the project companies, suppliers, manufacturers of the machinery or plant or contractors who carry out the erection work or is responsible for it. A supply and erection contract typically requires the contractor to arrange insurance against physical damage from any cause to the items to be supplied and erected, both whilst in transit and after arrival at the erection site. The insurance usually includes the erection tools and tackle. Erection projects are usually exposed to the following perils:

  • Fire , lightning , explosion
  • Earthquake
  • Flood & Inundation
  • Windstorm
  • Subsidence or collapse
  • Theft or burglary
  • Faulty workmanship,
  • Malicious acts
  • Faults in erection
  • Negligence, lack of skill, lack of experience
  • Short circuiting, arcing, excess voltage
  • Excess pressure or vacuum, destruction due to centrifugal force
  • Any other unforeseen or sudden event such as collapse

EAR insurance cover can be extended to cover the following:

  • Removal of Debris
  • Surrounding property
  • Errors and Omissions
  • Loss minimization expenses
  • Professional Fees
  • Automatic Reinstatement of Sum Insured
  • Expediting Expenses
  • Escalation Prevention of Access
  • Offsite storage and fabrication
  • Removal to place of safety
  • Time Adjustment (72 Hours clause)
  • Waiver of subrogation
  • Non-vitiation clause
  • On Account Payment
  • Free issue materials
  • Extended Maintenance etc.

EAR insurance requires the following information

  • Technical specification of the relevant project, contract price and value of items
  • Experience and expertise of the erection firm
  • Flow chart of the production process and a lay out plan where necessary
  • Geological, hydrological and meteorological data as applicable
  • Supply and erection time schedule and detail of pre storage facilities with notes on security and fire prevention in storage and on site
  • Availability of replacement parts or machines and extra costs associated therewith e.g. imported machinery

For Further Information Contact:

Anil Varma

Director & President


+91-22-6655 8858