Ten statements you regularly hear about construction insurance – and which, in this form, simply aren't true. Each comes with a concise correction and a link to the detail. The fuller treatment of the five most stubborn myths lives in the myths article; this is the quick, wall-worthy collection.
- Ten common statements – ten concise corrections.
- Goal: decisions based on facts, not on site-office folklore.
1–5: on the nature of cover
1. "All-risk covers everything." No: the exclusions list is part of the genre – whatever isn't excluded is typically covered, but the list exists: the exclusions map.
2. "The insurer pays liquidated damages too." Never: liquidated damages and penalties are a contractual or regulatory consequence, not an insurance claim.
3. "My liability insurance also protects the building under construction." No: that's for loss caused to someone else – your own works are the business of CAR's property section: the difference.
4. "They'll pay for my defective work anyway." No: fixing your own defect is a performance obligation – but consequential loss arising from the defect is typically coverable: the boundaries.
5. "With CAR in place, you don't need to worry about storage and security." The opposite is true: theft and storm cover is typically tied to conditions – good order is part of the cover: the theft article.
6–10: on practice
6. "It's never worth it for a small job." It's a question of exposure, not size: two weeks of work above an occupied house can still be a big stake: the small-project article.
7. "The principal's policy is bound to protect me too." Only if it's actually written in – the wording of the circle of insureds decides – worth knowing for certain, not from hearsay: the chain article.
8. "Everything's over once handover happens." The maintenance-period call-backs and the finished works' operational risks are only just starting at that point: after handover.
9. "Insurers reject everything anyway." Most of the typical grounds for rejection are avoidable inception or site-management mistakes – and a disputed decision isn't the end of the road: the reasons, how the broker helps.
10. "The cheap quote is always the best buy." Behind the price difference there's a difference in content – the question is whether you know about it: the cheap-quote trap.
If you hear an eleventh claim and you're not sure about it: feel free to ask – that's exactly what the FAQ's 43 questions and the free consultation are there for.
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