This is specially designed policy to protect the interest of the contractors and principal as well as the sub-contractor, Lender (Bank/financial Institution) in respect of Civil Engineering project like construction of building, road, bridge, dam, canal, tunnels, water supply, irrigation etc. This is all risk policy covering every risk, which is not specially exclude.

All such risks normally include,   

1. Fire & Lightning and chemical explosion
2. Physical explosions.
3. Accidental damage during construction e,g. Due to dropping of falling or, lack of skill, negligence, malicious act or human error.
4. Water damage, Flood, Storm, Tempest, Inundation, Earthquake.
5. Collapse, Collision, Impact.
6. Subsidence, landslide, rockslide.
7. Burglary.

Exclusion

Under this policy,Company will not indemnify the Insured in respect of loss, damage or liability directly or indirectly caused by or arising out of or aggravated by -

1. War or warlike operations, civil commotion etc. 
2. Willful act or willful negligence of the Insured or of his representation.   
3. Nuclear reaction, nuclear radiation or radioactive contamination. 
4. Loss discovered only at the time of taking an inventory. 
5. Normal wear and tear, gradual deterioration due to atmosphere conditions or lack of use, rust. Loss or damage due to faulty design. 
6. Loss due to cessation of work whether total or partial. 
7. Loss  to  files,  drawings,  accounts,  bills,  currency,  stamps,  deeds,  securities,  cheques  or  packing materials. 
8. Consequential loss of any kind or description whatsoever including penalties, losses due to delay, lack of performance, loss of contract.
9. Loss for damage to vehicles licensed for general road use or waterborne vessels or aircraft.
10. Loss or damage to construction plant, equipment and construction machinery due to electrical  or mechanical breakdown, failure, breakage or derangement, freezing of coolant or other fluid, defective lubrication or lack of oil or coolant, but if as a consequence of such breakdown or derangement an accident occurs causing external damage, such consequential damage shall be identifiable.