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GARGASH INSURANCE SERVICES LLC

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Certified as Chartered Insurance Broker
Seminar
On
Presented by,
Gargash Insurance Services
May 28
th
2008
Contractors All Risk Insurance

For

Sri Lankan Quantity Surveyors Group - UAE
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker

a. What can Gargash do for you ?
b. CAR Insurance
c. Other Insurances
Agenda
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Certified as Chartered Insurance Broker
What can Gargash do for you ?
Review the Risk Exposures including Contractual Conditions on Insurance
Suggest suitable insurance program
Preparing quotations
Requesting and obtaining competitive terms from bespoke insurers
Submit to you with recommendations
Place policies
Follow up and check documentation
Provide guidance in preparation of claims documents and represent
position with Loss Adjusters, Insurers etc.,in the unfortunate event of a
claim.

AS YOUR BROKER ABOVE SERVICE COMES FREE OF COST TO YOU
Visit our website www.gargashinsurance.com for further information
Services
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Certified as Chartered Insurance Broker
WHY INSURE ???
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
TYPICAL PROJECT STAGES
Identification of Need
Feasibility Study which narrows down
Size of Project
Location
Selection of Design/ Materials
Cost
Profitability
Financing Etc.,
Tendering
Award of Contract
Construction
Take over and maintenance
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Certified as Chartered Insurance Broker
THE CONTRACT
Legal Document Laying out Responsibilities
Also includes Insurance Stipulation
Standard Forms are generally used including Federation Internationale Des
Ingenieurs Conseils (FIDIC) & Joints Contracts Tribunal (JCT)

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Certified as Chartered Insurance Broker
Contractual Conditions on Insurance
General Conditions of Contract (mainly FIDIC)
4.1 Contractor responsible for acts of Sub-Contractor
20.1 Care of Works Contractors liable for loss or damage to works (excluding
the Expected Risks) before Certificate of Completion is issued.
20.4 Excepted Risks described i.e. Political Risks like War, Nuclear Explosion
etc.
21.1 Insurance of Works and Contractors Equipment
22.1 Damage to Persons and Property
23.1 Third Party Insurance To be insured by Contractor
24.1 Accident & injuries to Workers
25.3 Remedies on Contractors failure to Insure
49.1 }
49.4 } Defects Liability
50-1 }

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Certified as Chartered Insurance Broker
Insurance Involvement
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Certified as Chartered Insurance Broker
Typical Coverages on Projects
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Certified as Chartered Insurance Broker
Gap in cover
Overlap
Self Retention
Insured Risk
Principal
Consultant
Contractor
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Certified as Chartered Insurance Broker
Contractors All Risk Insurance (CAR)
Cover for civil engineering exposures
All Risk Cover generally including Third Party Liability
Project specific and Annual policies

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Certified as Chartered Insurance Broker
Project Specific CAR
Policy arranged for insuring a specific contract/ project
Annual Policies
A blanket policy which covers all projects falling within stated parameters
during the period of 12 months.
Contractors All Risk Insurance (CAR)
Note : It may be possible to get Run off cover on projects which have already
commenced during the 12 months but are continuing beyond the expiry
of the policy.
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Certified as Chartered Insurance Broker
Who Can Be Covered

Principal/ Owner/ Employer/Client
Main Contractor (s)
Sub Contractor (s)
Engineers/Consultants/Architects
Banks
Others having Insurable Interest

Insured Parties
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Certified as Chartered Insurance Broker
What Can be Insured
Section I
Contract Works
Plant & Machinery
Principals & Surrounding Property
Section II

Third Party Liability
- Accidental Injury /Death
- Property Damage
Legal Costs & Expenses incurred
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Certified as Chartered Insurance Broker
Cover

All Risk Cover for sudden and unforeseen events including but not limited to,

Fire, Lightning, Explosion, Aircraft
Flood, inundation, windstorm
Earthquake, Subsidence, Landslide
Collapse, Collision, Impact
Theft, Burglary
Consequence of bad workmanship, negligence
Malicious Acts
Accidental damage during construction
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Certified as Chartered Insurance Broker


Main Exclusions
General

Penalties for delay /guarantee of performance
Wilful Act or Gross Negligence
War, Terrorism, Nuclear Weapons etc.,
Consequential Losses
Section I

Faulty Design, Material, Workmanship
Cessation of work
Normal Wear & Tear, Corrosion, Gradual deterioration due to atmospheric
conditions
Shortages revealed at time of stock taking Inventory Losses
Damage to Works put into use or for which certificate of completion is
issued.
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Certified as Chartered Insurance Broker


Main Exclusions (contd..)
Section II

Arising out of employment of a person by Insured (or under Workmens
Compensation)
Items insurable under Section I
Vibration/ Withdrawal or weakening of support
Liability of vehicles insurable under Motor Insurance
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Certified as Chartered Insurance Broker
COVER DURING MAINTENANCE PERIOD
Limited to loss or damage caused by the Insured in the course of operations
carried out for the purpose of complying with obligations under the
maintenance provisions of the contract.
LIMITED OR VISITS COVER
EXTENDED COVER
In addition to the above, also includes loss or damage occurring
during the maintenance period but caused during the construction
period or the construction site.
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Certified as Chartered Insurance Broker
Some of the Extensions available under CAR
Cross liability
Surrounding property including Principals property
Professional fees
Debris removal
Expediting expenses
Transit and Offsite Storage and Fabrication
72 Hours limitation for Act of God Perils
Consequences of Faulty Design, materials, workmanship
Cover for vibration and weakening of support
Extended Maintenance Clause including Third Party Liability
Strike Riots & Civil Commotion
Underground Services
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Certified as Chartered Insurance Broker
Cross Liability
Generally various parties like Principal, Contractors & Sub Contractors, all
covered under the same policy.
These parties cannot be considered as Third Parties to each other
Any claim against each other not covered

If a Cross Liability extension is endorsed on the policy each insured party is
considered as separate entities and will be treated as if separate policy has been
issued to each.

This extension excludes damage to property who can be covered under Section I
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Certified as Chartered Insurance Broker
Estimated Contract Value should take into account

Section I

Materials
Freight
Customs Duty
Cost of Construction
Value of construction
Use of Machine
Labour
Temporary Works
Principals supplied materials
Reasonable cost escalations
Sum Insured
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
Section II


This should be the maximum possible liability and should take into account
apart from the contractual requirements.
Proximity & value of neighboring properties
Number of persons in vicinity
Nature of site activities
The minimum should be as per Contractual requirement. However, it MAY
BE NOTED THAT INDEMNITY MAY BE MUCH HIGHER
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Certified as Chartered Insurance Broker
Assessment of Risk (and Premium) Based on
Type of project
Subsoil/ AOG Perils Exposures
Construction Techniques
Design Features
Period /Time schedule (Exposures Periods)
Value at Risk
Infrastructure
Past record of contractors
Parties insured
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Certified as Chartered Insurance Broker
Typical Assessment of Risk Exposure
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Certified as Chartered Insurance Broker
MORE REASONS ON WHY TO
INSURE .
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
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Motor Comprehensive Insurance

Professional Indemnity insurance

Group Life Insurance for members

Home Insurance

Travel Insurance
Certified as Chartered Insurance Broker
Policies to be discussed
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Cover features

Unlimited legal liability 3rd Party Bodily Injury
Third Party Property damage limit is AED 2,500,000
Geographic limits -UAE and Oman
Family members and passengers are covered as a third party.
Insured and spouse personal injury cover up to AED 10,000
Agency repairs
automatically for the first 2 years of registration
Up to 5 years subject to claims experience and additional
premium
No excess payable for windscreen damage up to AED 2,000

Motor Comprehensive Insurance
Certified as Chartered Insurance Broker
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Cover features

Hire Car (Maximum period of 7 days per accident.)
(additional premium of AED 150/- for 12 months).

Personal Accident Benefit - limit Dhs.150,000/ per person.
Premium for Driver Dhs.120/-, Passengers Dhs. 30/- each

Cover for Riot, Strike, Civil commotion, Flood, storm, typhoon, cyclone or other
convulsions of nature

Third party liability cover for Insured whilst driving any other
private motor car. Terms and conditions of the policy applies.

Replacement of locks

Emergency medical expenses up to AED 2,750 per person

13th Month is free if the vehicle is brand new 0 kms.
Motor Comprehensive Insurance cont..
Certified as Chartered Insurance Broker
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Cover features

Personal belongings cover up to AED 2,000

24 hour accident / breakdown recovery ( @ AED 25 additional /
mandatory cover)

Motor trade and valet parking: whilst in the custody of
(1) A garage or similar business
(2) A hotel, restaurant or similar business

New car replacement:
Insurers will pay for a brand new replacement model if:
Your vehicle is written off/total loss in the first 6 months
(only applies for brand new)

Off road cover (4WD) : no cover whilst participating in a
competitive event or race.

Motor Comprehensive Insurance cont..
Certified as Chartered Insurance Broker
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INSURED : An active/ valid member of SLQS

VEHICLES : Vehicles less than 7 years old from the date of first
registration as new (other than excluded vehicles like sports, coupe,
high performance vehicles

AGE : Insured/ Main driver above 25 years of age

LICENCE : At least one year valid U.A.E. license.
If UAE license is new, three years driving
experience in Home country is acceptable.

CLAIMS : Favourable claims record.
CRITERIA
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Professional Indemnity Insurance
Do you have to be in Jail for doing your duties?
Cover: A Professional Indemnity Policy will provide indemnity against legal
liability for negligent acts, errors, breach of duty or omission arising
out of course of professional activities. Costs and expenses for
legal proceedings incurred are also covered.
Type of Policies : Annual, Project basis

Individual Policy or Insurance for Company as a
whole


Certified as Chartered Insurance Broker
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Group Life Insurance
BENEFITS COVERED:

Death By Any Cause,
Permanent Total Disablement (Accident)
Permanent Partial Disability (Accident)
Passive War Cover


Sum Insured: To be agreed

Premium : as low as Dhs. 20* per month per AED 100,000

* Premium changes as per the age of the member
Why Leave your Loved ones in dark in your absence?
Certified as Chartered Insurance Broker
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What is covered?

The Property
Contents in your home
Personal belongings

Plus additional benefits

Tenants liability
Legal liability
Alternative accommodation
New for old cover
Unexpected events and
natural calamities
Cover while you're away
Theft of keys
Frozen food
Contents in the open

Home Insurance
Household removals
Optional coverage
Domestic helpers
Cover against loss of important
documents
Cover against loss of money
and credit cards
Accidental damage
Certified as Chartered Insurance Broker
Home away from Home. Have you taken care of it?
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Contents - Covers items within your home.
Min premium AED 250, Rate 0.4%

Personal
Belongings Covers items worldwide.
Min premium AED 250, Rate 1.4%

Buildings Insured at replacement value to protect against natural
calamities and perils.
Min Premium AED 500, Rate 0.5% (except reclaimed land 0.1%)

Domestic Help Cover against Death or Permanent Disablement, Accidental
Medical, Repatriation.
Premium AED 150

* The above rate are indicative, can confirm only after reviewing the proposal


Premium Rating
Certified as Chartered Insurance Broker
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Travel Insurance
Cover :
Personal Accident Cover
Emergency Medical & Transportation
Baggage & Money
Personal Liability Cover
Repatriation of Mortal remains
Premature return following death of Close relatives
Cancellation & Curtailment
Type of covers
Individual Covers
Annual


Certified as Chartered Insurance Broker
Travel with no worries
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Special Services from Gargash Insurance Services
CLICK, PAY & GET IT DELIVERED


On Line Payment Facility through the web site of Gargash Insurance
(no additional charges).

No parking tensions, No traffic jams !

Free Delivery of policy documents

Free claims assistance services

Renewal reminders

Kindly visit our website www.gargashinsurance.com for more information.
P.O. Box :33140, Sharjah.
Mobile: 050-2960508
Ph : 06-5754848 Fax : 06-5754847
e-mail : r . s u r e s h @ g a r g a s h i n s u r a n c e . c o m
Certified as Chartered Insurance Broker
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Some of the other classes of insurances handled by us are :-
COMMERCIAL LINES

Fire/Allied Perils, Property Insurances
Electronic Equipment Insurance
Machinery Breakdown
Money Insurance
Contractors Plant and Machinery
Marine Transit
Business Interruption/ Consequential Loss
insurance
Fidelity Guarantee Insurance
General Third party Liability insurance
Workmens Compensation / Employers
Liability Insurance
Product Liability
Group Life and Personal Accident cover
Group Medical Insurances
Travel
Critical Illness
Keyman
Contractors/ Erection All Risks
Motor Fleet Insurance

SPECIAL INSURANCES

Professional Indemnity Insurances
Directors and Officers
Cancellation and Non-Appearance
Insurance
Surety Bonds
Terrorism Insurance
Medical Malpractices


PERSONAL LINES

Life and Personal Accident Insurance
Medical Insurance
Critical Illness
Pleasure Craft Insurance
Golfers cover

Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
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Certified as Chartered Insurance Broker
Thank you