Contract Works Insurance
Contract Works Protection for Builds, Renovations, Extensions and More
Contract works insurance protects building projects while they are underway.
This insurance covers the cost of repairing or replacing work that is damaged by events such as fire, flood, theft or accidental damage before the job is completed. This type of insurance is often called Contractors All Risk insurance and is widely used by builders, trades, contractors and property developers who work on active construction sites.
For many SMEs in construction and property services, a single incident can risk deadlines and create unexpected bills. For example, a partially built extension damaged by a storm, materials stolen from site or a fire that destroys work already completed can all set a project back significantly. Contract works insurance helps put the work back to its prior condition so the project can continue with minimal disruption.
It can apply to residential, commercial or renovation projects, covering materials, labour and temporary structures while the job is in progress. It is particularly relevant for contractors who manage multiple sites or take on higher-value work where the financial impact of damage could be substantial.
Your cover is placed with FCA-authorised insurers, giving you reassurance that it meets regulated standards.
Why Choose This Cover?
Contract works insurance keeps a project moving when disrupted. If work in progress is damaged, materials are stolen or an incident forces you to redo part of the job, this policy can cover the costs that would otherwise delay or stop the project. It also manages the knock-on effects of pauses, supports cash flow when you need to replace items quickly and can satisfy contract conditions that require this type of protection before work starts. For contractors and trades, it offers a practical safety net that protects the job and helps maintain your schedule when the unexpected happens.
Choosing a Limit
The level of cover you need depends on the highest value of work that will be on site at any one time, including materials stored on site, work already completed and the cost of labour needed to return the project to its pre-loss state. Keep in mind that larger builds or projects involving structural work usually require higher limits. If you’re unsure, don’t worry, we can help you calculate an appropriate figure based on the type and value of the projects you take on.
What’s Included in Our Contract Works Cover?
Damage to work in progress
Covers repair or reinstatement costs if an insured event affects work already completed.
Materials on site or in transit
Protection for items stored at the location or being transported to the project.
Temporary structures
Covers scaffolding, site huts, temporary access equipment and similar items.
Theft following forced entry
Helps you recover after tools, materials or equipment are stolen from a secured area.
Damage after project completion
Once handed over, the work is no longer covered and should be insured by the property owner.
Natural wear or poor workmanship
Ongoing deterioration or defects due to how the work was carried out are excluded.
Unsecured storage
Theft from sites or vehicles that do not meet required security conditions may not be covered.
Tools owned by subcontractors
Their equipment usually requires a separate tool cover unless it is specifically included in the policy.
Why Icon Risk
✓ Clear advice from brokers who understand construction and renovation risks
✓ Excellent customer service
✓ Quick access to quotes for projects of all sizes
✓ Straightforward explanations of how the cover applies to active sites
✓ Policies arranged with FCA-authorised insurers
✓ Easy adjustment of limits if your project scope changes
✓ Consistent updates and support throughout the claims process
✓ A simple approach to managing construction insurance
FAQ’s
Is contract works insurance the same as builders’ insurance?
Not exactly. Contract works insurance protects the project itself. Other covers, such as public liability or employer’s liability, protect against different risks and may be needed alongside.
Does my client still need their own insurance?
Yes. This cover applies to work in progress, not the existing structure. Clients should confirm their own building insurance remains active.
What if a project runs over schedule?
Policies can usually be extended. Let us know as soon as delays become likely so cover does not lapse.
Do contracts works insurance cover renovations as well as new builds?
Yes. It can apply to extensions, refurbishments, conversions and structural alterations.
Does contract works cover required under JCT contracts?
Many JCT contracts specify contract works insurance. We can help you understand which clause applies to your project.