The construction industry is developing at a frantic pace, ready-made objects are constantly being handed over, new construction sites are being laid. In addition to the fact that this is a very profitable business, it is also risky, therefore, insurance in the construction sector is a very popular service.
Construction risks
Construction insurance is aimed at compensating for damage that a developer may receive during the construction, reconstruction or repair of an object.
Construction insurance is distinguished by the absence of general standard contracts, which is associated with the complexity of risk assessment and their technical focus.
The sheer volume of new materials and operations makes it difficult to observe and organize hazards. As a result, insurers have increased requirements in terms of professional compliance, and individual contracts are concluded, taking into account the specifics of each object.
Objects
The objects of construction insurance are the interests of the developer who are exposed to risks in connection with his activities. Objects fall into two main categories:
- Material base - all erected, restored or repaired objects that are under the responsibility of the developer, the work carried out, materials, the tool base used. They include: main and additional structures (permanent and temporary), equipment and tools. The insurance will cover losses incurred by the developer in case of full or partial damage to the insured property.
- builders - extends to the material liability of the insured to the performers or other people who were injured or died at the facility during the work. The insurance will cover the compensation that the developer will have to pay to the person injured at the construction site.
Insurance cover
Insurance coverage is a combination of the risks indicated by the contract. In construction insurance, coverage depends on a specific object, since materials, technologies and working conditions are different in each case. Insurance organization includes in the coverage the risks that best meet the needs of the policyholder, after a thorough study of the object and the troubles that threaten it.
Standard risks subject to construction insurance:
- Fires, floods, subsidence, sinkholes, landslides.
- Natural disasters: hurricanes, earthquakes, etc.
- Vandalism, theft.
- Errors made by third parties who are not responsible for the construction process.
- Damage and destruction of buildings.
- Damage or destruction of building materials.
- Breakdown of equipment and tools.
- Accidents in engineering networks: gas pipelines, water supply systems, heating systems, electrical networks.
- Harm incurred by foremen and other people under the responsibility of the developer.
Damage to the property of people under the responsibility of the developer.
It is characteristic that for this category of insurance the wording “from all risks” is applicable and a complex agreement may contain not a list of insured events, but a list of exceptions for which losses are not compensated.
Although some insurers still prefer to conclude traditional contracts that cover the main property risks, it is a modern CAR (Contractors All Risks) contract that can provide full protection at a construction site.
The insurance company is not liable if the damage or destruction of the insured property occurred for reasons specified in the form of exceptions. Standard exceptions for construction risk insurance contracts:
- Military conflicts and their results.
- Equipment failure caused by natural causes - internal breakdowns.
- Natural wear and tear of equipment, as a result of which rust and other manifestations appear that contribute to breakdowns and damage.
- Total or partial "freezing" of objects.
- Intentional sabotage or negligence of the policyholder or beneficiary.
- Impact of a nuclear explosion and the consequences of radioactive contamination.
- Non-compliance with safety precautions and design errors.
Other exceptions may be added to this list, depending on the insurance object.
Period of validity of the contract
For how long to conclude an agreement, the parties determine based on the need. It may correspond to the expected construction and delivery time of the object or a specific time period. The contract is tied only to the developer's license and cannot last longer than its validity.
Installation risks
In addition to construction risks, it is customary in the industry to insure assembly risks, it can be comprehensive construction and assembly insurance or separate contracts. Most often they conclude complex contracts covering the main objects and risks.
The objects of insurance of assembly risks also refer to the property interests of the developer, but in a narrower sense. The objects of assembly insurance are:
- carried out installation manipulations;
- mounted structures;
- performers' salary;
- associated costs;
- materials and tools used;
- services rendered by the developer;
- responsibility to people.
As with construction risks, compensation is paid for damage or destruction of property or to compensate people injured during assembly.
The risks that the insurance will cover, in the case of installation, are also assigned individually for each object of the contract, taking into account the specifics.
Generally, the following situations are referred to as installation risks.
- Damage or death of materials and mounted structures.
- Installation errors.
- Breaks in cables, chains, slings and other accessories.
- Collisions during lifting of structural elements (with other objects, animals, performers).
- Falling parts and blocks during high-rise installation work.
- Harm to health (up to death) of people received during installation manipulations.
The latest technologies in construction make it possible to carry out both the simplest installation and the most complex manipulations using unique, expensive equipment. Therefore, coverage depends on the existing conditions and capabilities of the insurance organization. The exceptions for installation work insurance are the same as for construction work.
Who is engaged in insurance of construction and installation risks
Construction and assembly insurance is one of the most difficult types, such services are provided by large companies with a large staff of professional appraisers and agents. When servicing large-scale objects, companies involve foreign partners with large capital (reinsurance programs). To engage in insurance in the construction industry, an organization must have multiple licenses.
REGULATIONS
INSURANCE OF CONSTRUCTION AND ASSEMBLY WORKS
1. GENERAL PROVISIONS
1.1. Based on these Rules and current legislation Russian Federation The insurance organization, hereinafter referred to as the "Insurer", concludes contracts for insurance of construction and installation works with legal and capable individuals, hereinafter referred to as the "Policyholders".
1.2. When concluding an insurance contract, the Insured has the right to appoint individuals or legal entities (Beneficiaries) to receive insurance payments under the insurance contract, as well as replace them at his own discretion before the occurrence insured event.
2. OBJECTS OF INSURANCE
2.1. The object of insurance is the property interests of the Insured, which do not contradict the legislation of the Russian Federation, related to the performance of construction and installation and other works during the construction of construction projects, as well as compensation by the Insured of harm caused to health or property of third parties during construction and installation work.
The following are subject to insurance under these Rules:
Unforeseen and sudden are such material impacts that the Insured or his representatives either could not foresee in a timely manner, or could not foresee them on the basis of professional knowledge that is common practice in the construction industry.
3.3.1. Insurance is carried out, in particular, against the following risks:
Fire, explosion, lightning strike, falling aircraft;
Tornado, hurricane, storm, typhoon;
Snow avalanches, mudflows;
Flood, flood, rainstorm;
Landslide, landslide, soil subsidence, flooding by groundwater;
Earthquake;
Unlawful actions of third parties, burglary, robbery;
Failure of engineering networks (water supply, sewerage, heat supply, power supply);
Installation errors;
Collapse or damage to an object, including falling or falling parts;
Any other sudden and unforeseen events at the construction site, not excluded by these Rules or the insurance contract.
3.3.2. The insurer, if provided for by the terms of the insurance contract, shall reimburse the costs of clearing the territory after the insured event.
Clearing costs are those costs that must be incurred after an insured event to bring the territory of the construction site into a condition suitable for carrying out restoration work.
3.4.10. Experimental or research work.
3.4.11. Damage directly caused by constant exposure to operational factors (wear, corrosion, oxidation, decay, spontaneous combustion).
3.4.12. Submission of claims to the Insured for compensation of a forfeit (fines, penalties) as a result of poor-quality or untimely performance of construction and installation work (services rendered), termination or non-performance of contracts.
3.4.13. Personal injury, illness or death of employees of the Insured or other organization engaged in construction and installation work.
3.4.14. Death, destruction, loss, damage to plans, drawings, photographs, samples, models, securities, money, accounting and other documents.
3.4.15. Damages that existed at the time of the conclusion of the insurance contract and were known to the Insured or his representatives.
3.5. The income not received by the Insured (loss of profit) resulting from the insured event is not subject to compensation.
4. TERRITORY OF INSURANCE COVERAGE
4.1. The insurance object is considered insured in the territory specified in the insurance contract.
5. INSURANCE AMOUNT, INSURANCE PREMIUMS, FORM AND PROCEDURE OF THEIR PAYMENT
5.1. The sum insured is the amount of money determined by the insurance contract, on the basis of which the amount of the insurance premium and insurance payment is established.
5.2. Sum insured established by agreement of the parties within the actual value of the insurance object on the basis of documents confirming its value.
5.3. The sums insured are determined based on:
5.3.1. By - the full design (estimated) cost of construction work at its completion, including the cost of material, wages, transportation costs, customs duties, fees, as well as the cost of material and building elements supplied by the customer;
5.3.2. By - the full design (estimated) cost of each insurance object after completion of installation, including transportation costs, customs duties, fees and installation costs;
5.3.3. According to PP. and - the actual value of the construction site equipment or construction machinery and equipment.
5.4. The sum insured for is established separately from the sums insured, determined in paragraphs. ,, and and cannot exceed 2% of the insured amount for insurance of construction and installation works.
5.5. When the insured amount is set by the Insured below the actual value of the object, insurance is valid in a share of the value of the property (incomplete insurance).
5.6. The insurance contract, by agreement of the parties, also establishes a limit of the Insurer's liability (the maximum paid insurance indemnity) for one insured event and / or for the entire insurance period and an unconditional deductible - a part of the damage that is not subject to compensation by the Insurer (hereinafter referred to as "deductible").
5.7. The insurance premium is calculated based on the sums insured, tariff rates (to these Rules) and taking into account the specific conditions of insurance.
5.8. Payment of the insurance premium is made by the Insured in accordance with the terms of the insurance contract by bank transfer or in cash.
5.9. The insurance premium is paid by the Insured as a lump sum or in installments in the manner and within the terms established by the insurance contract.
The day of payment of the insurance premium is considered the day debiting money from the Insured's account.
6. PROCEDURE FOR CONCLUSION AND REGISTRATION OF THE INSURANCE CONTRACT
6.1. The insurance contract is an agreement between the Insurer and the Policyholder, by virtue of which the Insurer undertakes, upon the occurrence of an insured event, to make insurance payments to the Policyholder or another person in whose favor the insurance contract has been concluded, and the Policyholder undertakes to pay insurance premiums within the terms established by the insurance contract.
The insurance contract may contain other conditions, determined by agreement of the parties, and must meet the general conditions for the validity of the transaction provided for by the civil legislation of the Russian Federation.
6.2. The insurance contract is concluded on the basis of a written application-questionnaire of the Insured, containing the necessary information about the object of insurance, data on all circumstances that are important for determining the degree of risk, as well as on the basis of data from a pre-insurance examination conducted (if necessary) by experts of the Insurer or experts of third-party organizations involved The insurer. If the Insured fails to provide the specified information, the Insurer has the right to refuse to conclude an insurance contract.
The insurance contract is accompanied by the Policyholder's statement of insurance and a list of the insured property, which are an integral part of it.
6.3. The insurer is liable under the contract only if the Insured complies with his obligations under these Rules, including the reporting of information that is true about the insurance object when concluding the contract.
6.4. The fact of the conclusion of an insurance contract may be certified by an insurance certificate (policy) transferred by the Insurer to the Policyholder, drawn up in accordance with the requirements of the RF Law "On Insurance" with the attachment of these Rules.
6.5. In case of loss by the Insured during the validity period of the insurance contract insurance policy a duplicate is given to him. After issuing a duplicate, the lost insurance policy is considered invalid and no payments are made on it.
7. DURATION OF THE INSURANCE CONTRACT
7.1. The insurance contract is concluded for the period specified in the contract (work contract) for the performance of construction and installation works, unless otherwise provided by the contract.
If, for reasons beyond the control of the Insured or the person in whose favor the contract was concluded, construction work is temporarily suspended (lack of funding, etc.), the contract is also suspended for a period of not more than three months. The insurer does not indemnify for damage incurred during the period of suspension of the contract.
If construction is resumed after more than a three-month break, the term of the insurance contract may be extended by additional agreement of the parties.
7.2 ... The insurance contract comes into force after the Insured pays the insurance premium or the first part of it (if paid in installments):
When paying in cash - from 00 o'clock on the day following the day the money is received by the authorized representative of the Insurer;
In case of non-cash payment - from 00 o'clock on the day following the day of receipt of money to the current account of the Insurer.
7.3. The validity of the insurance contract, subject to the payment of the insurance premium in accordance with these Rules, begins immediately after the start of work or after the unloading of the insured objects at the construction site, provided that the Policyholder notifies the Insurer of the start of work or unloading, but not earlier than the date specified in the insurance contract.
7.4. The insurance coverage during the period of validity of the contract is terminated for those insured objects that are accepted or put into operation, from the moment of signing the acceptance certificate of the completed construction of the object, as well as for the corresponding part of the installation or machine (machines) in the event that part of the installation or one or several machines undergo (are) a trial test, or are (are) put into operation. This provision applies unless a specific post-launch warranty insurance agreement has been entered into.
The Insurer's representative participates in the work of the commission for the acceptance of completed construction projects into operation.
7.5. If, as a result of acceleration of work, the insurance period ends earlier than the date specified in the contract, the insurance premium is non-refundable.
8. RIGHTS AND OBLIGATIONS OF THE PARTIES
8.1. The policyholder has the right:
8.1.1. To receive insurance compensation in the amount of direct actual damage within the insured amount, taking into account the specific conditions specified in the insurance contract.
8.1.2. To change the terms of the insurance contract in the manner specified in paragraphs. - of these Rules.
8.1.3. To terminate the insurance contract in accordance with these Rules.
8.2. The policyholder is obliged:
8.2.1. When concluding an insurance contract, inform the Insurer of the information necessary for making a decision on concluding a contract, characterizing the degree of risk.
8.2.2. Inform the Insurer about all concluded or concluded insurance contracts in relation to this insurance object;
8.2.3. Pay an insurance premium in the amount, procedure and terms determined by the insurance contract;
8.2.4. Take all reasonable precautions, comply with all recommendations of the Insurer to prevent damage, as well as the requirements of laws and regulations and the manufacturer's recommendations;
8.2.5. Notify the Insurer within three days about the circumstances that arose during the validity period of the insurance contract and significantly increase the degree of risk.
In this case, the Insurer has the right to demand from the Policyholder to pay additional insurance premiums. Refusal of the Policyholder to pay additional insurance premiums is the basis for termination of the insurance contract from the moment the degree of risk changes.
8.2.6. Inform the Insurer in writing about the partial or complete cessation of construction and installation work within 14 days from the date of an official decision about this.
8.3. In the event of damage, the Policyholder is obliged:
8.3.1. Take all necessary measures to reduce damage;
8.3.2. Immediately notify the Insurer by telephone (fax) about the occurrence of damage and, within 10 days from the moment of its occurrence, send the Insurer a written notice of the reasons for the occurrence, the nature and amount of damage. Apply to the relevant competent authorities to obtain documents confirming the fact of occurrence and the amount of damage;
8.3.3. Submit the damaged object for inspection to the representative or expert of the Insurer before repair or restoration work is carried out.
The Insured, who has notified the Insurer of the occurrence of an insured event and submitted the necessary documents, has the right to repair minor (up to 5% of the cost) damages caused to the insured object prior to the inspection by the Insurer.
If a representative of the Insurer does not carry out an examination within 5 working days from the date of receipt of a written notice of damage from the Insured, the Insured has the right to carry out repair work or replace the damaged parts.
8.3.4. Provide all information and documents that are necessary for the Insurer to establish the fact of an insured event and assess the damage caused, including information constituting a commercial secret;
8.3.5. If damage occurs as a result of unlawful actions of third parties, contact the competent authorities for an investigation;
8.3.6. Transfer all documents to the Insurer and take all measures necessary for the Insurer to exercise the right of recourse to the persons responsible for the damage caused;
8.3.7. Perform other actions provided for by the Law of the Russian Federation "On Insurance", these Rules and the insurance contract.
8.4. The insurer has the right:
8.4.1. Check the condition of the insured object, the compliance of the information about the insurance object provided to him by the Insured with the actual circumstances, as well as the Insured's compliance with building codes, safety rules and the terms of the insurance contract;
8.4.2. Participate in the salvage and preservation of the insured property, give written recommendations on how to reduce damage, which are binding on the Policyholder. However, these actions cannot be considered as recognition by the Insurer of the obligation to pay insurance indemnity;
8.4.3. To independently find out the reasons and circumstances of the insured event;
8.4.4. Proceed to inspect the damaged property without waiting for the Insured to notify about the damage. The Policyholder has no right to prevent the Insurer from doing this;
8.4.5. Demand from the Insured the information necessary to establish the fact of the insured event and determine the amount of damage, including information constituting a commercial secret;
8.4.6. If necessary, send a request to the competent authorities for the submission of relevant documents and information confirming the fact and reason for the occurrence of the insured event.
8.5. The insurer is obliged:
8.5.1. To acquaint the Insured with the terms of these Rules;
8.5.2. Upon receipt of the Policyholder's proposals on changing the terms of the insurance contract, consider them within five days and inform the Policyholder about the decision;
8.5.2. Not to disclose information about the Insured and his property status, except for the cases provided for by the current legislation;
8.6. The Insurer, after receiving a written notice of damage from the Policyholder (clause 8.3.2 of these Rules), is obliged to:
8.6.1. Carry out, with the participation of the Insured, within 5 working days, inspect the insurance object and draw up an insurance act;
8.6.2. Draw up a damage calculation together with the Insured;
8.6.3. If the case is recognized as insured, pay insurance compensation in the amount, procedure and terms specified in the insurance contract. The date of cancellation is considered the day of payment of the insurance indemnity Money from the current account of the Insurer. In the case of reinsurance of large risks, the period for payment of insurance compensation can be extended, which is indicated in the insurance contract.
9. INVALIDITY OF THE INSURANCE CONTRACT
9.1. The insurance contract is considered invalid from the moment of its conclusion:
9.1.1. In cases stipulated by the legislation of the Russian Federation;
9.1.2. If it is concluded after an event recognized as insurance in accordance with these Rules;
9.1.3. If the object of insurance is property subject to confiscation on the basis of a relevant court decision that has entered into legal force.
9.2. The insurance contract is recognized as invalid by the court, arbitration or arbitration courts.
10. PROCEDURE AND TERMS OF IMPLEMENTATION OF INSURANCE PAYMENTS
10.1. Insurance indemnity is paid to the Policyholder (Beneficiary) in accordance with With insurance contract, on the basis of a written application of the Insured for compensation for damage, documents confirming the fact of the occurrence of an insured event and the amount of damage, an insurance certificate and damage calculation.
10.2. Insurance indemnity is paid in an amount not exceeding direct damage caused to the insured object of construction and installation works and the insured equipment of the construction site (hereinafter referred to as property).
10.3. Damage means the value of the destroyed (stolen) property and / or the lost value of the damaged property.
10.4. The amount of damage is determined by the Insurer through an examination based on the value of the damaged property at the time of the insured event. The examination is carried out at the expense of the Insurer.
10.5. Each of the parties has the right to demand an independent examination with payment at the expense of the party that requested it.
The costs of paying for the conduct of an independent examination in cases recognized as non-insured after its completion shall be borne by the Insured. Independent experts cannot be persons who are competitors of the Policyholder or have business contacts with him, as well as employees of the Policyholder and the Insurer.
10.6. The amount of damage is determined:
10.6.1. In case of theft of the insured property - in the amount of its value at the time of the insured event, less depreciation;
10.6.2. In the event of the loss of the insured property - in the amount of its value at the time of the insured event, minus the value of the remaining balances suitable for further use;
10.6.3. In the event of damage to the insured property - in the amount of the cost of its restoration, to the state that was before the occurrence of the insured event.
10.7. The costs of restoring the insured property include:
10.7.1. Expenses for materials and spare parts required to restore property;
10.7.2. Expenses for payment of property restoration works;
10.7.3. The cost of restoring property is determined after deducting the cost of depreciation of materials and spare parts replaced in the course of restoration (repair). If the damaged parts are replaced, despite the fact that it was possible to repair them without jeopardizing the safe operation of the insured property, the Insurer shall reimburse the Insured for the cost of repairing these parts, but not more than the cost of replacing them.
10.8. Property restoration costs do not include:
10.8.1. Expenses related to changes and / or improvement of the insured property;
10.8.2. Expenses caused by temporary (auxiliary) repairs or refurbishment;
10.8.3. Expenses for equipment overhaul, its preventive repair and maintenance, as well as other expenses incurred regardless of the insured event.
10.9. The insurance indemnity is paid by the Insurer within the limits of the respective sum insured and subject to the limits of liability.
10.10. If the insured amount at the time of the insured event is lower than the actual value of the insured object (), the amount of insurance compensation is reduced in proportion to the ratio of the insured amount to the actual value. This provision applies to each object and each article separately.
10.11. If the Policyholder continues to operate the property in need of repair after the insured event, the Insurer shall indemnify the damage to the extent that it was not caused by such exploitation.
10.12. After the payment of the insurance indemnity, the sum insured under the contract is reduced by the amount of the insurance indemnity paid to the Policyholder (Beneficiary). When restoring or replacing the damaged property, the amount of the insured amount can be increased to the original, subject to the conclusion of an additional contract and payment of an additional premium.
10.13. The insurer does not indemnify:
10.13.1. Damage in the amount not exceeding the unconditional deductible specified in the insurance contract;
10.13.2. Consequential damage of any nature, including forfeit (fine, penalty), damage incurred at The Insured due to violations of the terms of the contract (contract) for the performance of construction and installation works or its termination;
10.13.3. Damage due to erroneous design;
10.13.4. Damage or damage that arose even as a consequence of the insured event, but which were discovered only during the inventory;
10.13.5. Damage or damage caused to items located in the immediate vicinity of the territory of insurance coverage, if this is not provided for by the insurance contract;
10.13.6. The costs of replacing, repairing or eliminating defective material or defects in the production of construction and installation work. This rule applies only to the directly affected parts of the insured property, and does not apply to the loss or damage to serviceable parts as a result of an accident due to the use of defective material or defects in work;
10.13.7. Decrease in property value due to:
Wear, corrosion, oxidation, as well as due to its non-use or the action of normal weather conditions;
Internal malfunctions of machines and / or electrical equipment that arose during operation or malfunctions of equipment at the construction site;
Loss or damage Vehicle approved for use on public roads, floating vehicles and aircraft;
Loss or damage to technical, design, accounting and other documentation, money, securities or receipts, packaging material, including: containers, boxes, partitions, pallets, trays, barrels, etc .;
10.14. The Insurer has the right to refuse to pay the insurance indemnity if the Insured:
10.14.1. Deliberately or grossly negligently committed or allowed actions (inaction) that led to the occurrence of damage;
10.14.2. Hindered the Insurer or his representatives in examining the insured property after the occurrence of the insured event, identifying the circumstances of the insured event, determining the nature and amount of damage;
10.14.4. Did not fulfill or violated the requirements of cl. and these Rules.
10.14.5. Received compensation for damage from the person guilty of causing it. If the Policyholder has received compensation for damage from third parties guilty of causing it, the Insurer shall pay the Policyholder only the difference between the amount payable under the terms of the insurance contract and the amount received by the Policyholder from third parties. The Policyholder is obliged to immediately notify the Insurer of the receipt of such amounts.
10.14.6. In other cases stipulated by the current legislation and the insurance contract.
10.15. In case of refusal to pay insurance indemnity, the Insurer is obliged to inform the Insured about this in writing with a reasoned justification of the reasons for the refusal.
10.16. When the Insured returns the stolen insured property, he is obliged to return the received insurance compensation to the Insurer within 10 days, minus the costs of paying for the necessary and performed restoration (repair) work caused by the theft of property.
10.17. If the Policyholder has entered into insurance contracts in relation to this object with several Insurers for a total amount, exceeding his insured value, upon the occurrence of an insured event, he is paid insurance compensation in an amount proportional to the ratio of the insured amount for the concluded by him the contract to the total amount for all other insurance contracts of the specified object.
10.19. The Policyholder is obliged to return to the Insurer the paid insurance indemnity (or its corresponding part) if, within the statutory limitation periods, a circumstance is discovered that fully or partially deprives the Policyholder of the right to insurance indemnity.
11. AMENDMENT, ADDITION, TERMINATION OF THE INSURANCE CONTRACT
11.1. Changes and additions to the terms of the insurance contract are made by agreement of the Insurer and the Policyholder on the basis of an application by one of the parties within five days from the date of receipt of an application from the other party.
11.2. Changes and additions to the terms of the agreement are valid from the moment the additionally agreed terms are formalized in writing.
11.3 ... If any of the parties does not agree to amendments and additions to the insurance contract, the issue of the validity of the insurance contract on the previous conditions or its termination shall be resolved within five days.
11.4. The insurance contract is terminated:
11.4.1. If the Insured fails to pay the insurance premium or part of it within the terms stipulated by the insurance contract - from 00:00 on the day following the day that is the last due date for payment of the insurance premium or part thereof;
11.4.2. Upon the expiration of the contract - from 00 o'clock on the day following the day specified in the policy as the day of termination of the contract;
11.4.3. When the Insurer fulfills its obligations in full (payment of insurance compensation in the amount of the insured amount) - from the day the money is debited from the Insurer's current account;
11.4.4. If the court makes a decision to recognize the contract as invalid in the manner prescribed by these Rules;
11.4.5. When the ownership of the insurance object is transferred to another person;
11.4.6. Upon liquidation of the Policyholder or the Insurer;
11.4.7. At the request of the Policyholder;
11.4.8. At the request of the Insurer.
11.5. In other cases stipulated by the legislation of the Russian Federation and the insurance contract.
11.6. The parties are obliged to notify each other about their intention to terminate the agreement 30 days prior to the expected date of termination, unless otherwise provided by the agreement.
11.7. The insurance contract may be renewed if its validity was terminated due to non-payment by the Insured of the next part of the insurance premium. To renew the contract, the Policyholder must pay the unpaid part of the insurance premium. The contract is considered renewed from the date of receipt of the previously unpaid part of the insurance premium to the Insurer. In this case, the term of the contract is not extended. The insurer is not liable from the moment of termination of the insurance contract until the moment of its renewal. Renewal of the insurance contract is formalized by an additional agreement.
12. RIGHT OF REGRESS
12.1. The insurer who has paid the insurance indemnity for the insurance of construction objects is transferred, within the limits of the amount paid, the right of claim, which the Insured (or another person who has received the insurance indemnity) has against the person responsible for the damage caused.
12.2. Upon receipt of the insurance indemnity, the Policyholder is obliged to hand over to the Insurer all documents and other evidence in his possession and to perform all the actions necessary to implement the Insurer's recourse against the person guilty of causing damage.
13. DISPUTE RESOLUTION PROCEDURE
13.1. Disputes under the insurance contract between the Insured and the Insurer are resolved through negotiations, and if an agreement is not reached, disputes are resolved in the manner prescribed by the current legislation of the Russian Federation.
Appendix No. 1
to the Insurance Rules
construction and installation risks
Additional terms
for insurance civil liability to third parties during construction and installation work
(to the Rules)
1. Under an insurance contract concluded in accordance with the Rules for Insurance of Construction and Installation Works and these Additional Terms, the Insurance Organization provides insurance coverage for the Insured's liability to third parties during construction and installation works.
2. The insurer, in accordance with these Additional Terms and Conditions, assumes the costs of compensation for damage caused to the person and property of third parties, the responsibility for which is borne by the person in whose favor the insurance was concluded if:
The responsibility of this person is determined by the legislation of the Russian Federation during the production of construction and installation, commissioning and during the period of post-launch warranty obligations;
The damage was caused in direct causal connection with the implementation by the Insured of construction and installation, commissioning and post-launch warranty obligations;
An accident that caused damage to third parties took place within the territory of the work performed or in the immediate vicinity of it.
3. The insurer also pays legal costs in cases of compensation for damage caused to third parties as a result of an insured event, if the damage caused is subject to compensation in accordance with these Additional Terms.
4. In addition to the exceptions provided for in Art. Of the Rules for Insurance of Construction and Installation Works, the Insurer does not reimburse:
Damage caused to property of third parties that is or could be insured in accordance with the Post-Launch Warranty Insurance Terms or Conditions;
Damage caused to family members of the person in whose favor the insurance was concluded and to his personnel, as well as property entrusted to him or being in his use;
Damage caused by any vehicles, if they are not intended for use exclusively within the location of the insurance object.
5. In the insurance contract, by agreement of the parties, the general limit of the Insured's liability for harm caused to the person and property of third parties during the construction of a construction facility is established for one insured event or for the entire period of the contract and an unconditional deductible for compensation for material damage.
6. The contract of insurance of civil liability of the Insured to third parties is valid within the dates specified in it.
However, in case of civil liability insurance for the period of construction, installation and commissioning, the Insurer's liability begins no earlier than the arrival of construction materials and equipment at the construction site and ends no later than the commissioning of the facility.
In case of insurance for the period of post-launch warranty obligations, the Insurer's liability begins after the entry into force of the post-launch warranty and ends upon the expiration of the warranty period.
7. The Insured, without the written consent of the Insurer, is not entitled to accept any direct or indirect obligations to settle claims of third parties for damages.
8. The Insurer has the right on behalf of the Insured to negotiate and conclude agreements on the settlement of claims of third parties for compensation for damage caused to them, as well as to conduct related cases in the courts.
9. The Insured and / or the person in whose favor the insurance contract has been concluded is obliged to issue the Insurer with a corresponding power of attorney and provide him with the necessary assistance.
Violation of the provisions of this clause by the Insured and / or the person in whose favor the insurance contract is concluded gives the Insurer the right to refuse to pay compensation.
10. Insurance coverage for civil liability to third parties is provided under an additional agreement only upon conclusion of the main contract for insurance of construction and installation works with the Insurance Organization.
Appendix No. 2
to the Insurance Rules
construction and installation works
Additional terms
post-launch warranty insurance
(to the Rules)
1. Under an insurance contract concluded in accordance with the Rules for Insurance of Construction and Installation Works (hereinafter referred to as the "Rules") and these additional conditions, the Insurance Organization (hereinafter the "Insurer") provides insurance coverage to a construction entrepreneur upon fulfillment of post-launch warranty obligations for buildings, structures and equipment.
2. In accordance with these Additional Terms and Conditions, the Insurer is responsible for providing insurance compensation for expenses incurred by the Insured during the period of post-launch warranty obligations incurred as a result of losses from damage or destruction of objects of insurance, if such losses occurred as a result of or resulted from:
Disadvantages made during the production of construction and installation and commissioning operations, identified during the warranty period;
Deficiencies made in the performance of warranty obligations by the person or persons in whose favor the insurance was concluded.
3. Buildings, machinery and other equipment located on the construction and installation site at the time of completion of construction and installation works (which is stipulated in the insurance contract) are subject to insurance, provided that the persons in whose favor the insurance was concluded ensure the supply of these objects of insurance with the necessary raw materials and materials in accordance with applicable standards and regulations.
4. Insurance indemnity is not subject to (except for those specified in the Rules for insurance of construction and installation works):
Losses and expenses incurred as a result of the death or damage of fuels and lubricants, coolants and other auxiliary materials, products produced or processed by the insured items;
The cost of eliminating defects that caused or could have caused the insured event, as well as any indirect losses, in particular, loss from expected profits or imposition of fines in the course of subcontracting work.
5. For insurance of post-launch warranty obligations, the insurance contract sets a liability limit within the value of the insurance object on the basis of documents confirming their value, based on the full cost of each construction object after completion of installation, including prompted costs, customs duties, fees and installation costs ...
6. Except as otherwise specified, the liability of the Insurer begins from the moment the Insured accepts the guarantee, but no later than the day specified in the contract as the day of its expiration.
7. The scope of the Insurer's liability for reimbursement of the value of lost property is determined by the cost of replacing the lost property or its actual value at the time of the occurrence of the insured event, bearing in mind that of the two amounts when determining the scope of the Insurer's liability, the lower amount is applied.
8. If the insurance contract provides for a limit of insurance indemnity for one insured event, the insurance indemnity for all losses caused by the same insured event, including the costs of reducing and preventing losses, cannot exceed this limit.
9. Insurance coverage for reimbursement of losses incurred during the period of fulfillment of post-launch warranty obligations is provided under an additional agreement in the presence of a main contract for insurance of construction and installation works concluded with the Insurance Organization.
Insurance rules
Means of construction and installation risks,
approved by the Director General
LLC "SK" Independent insurance group"03/19/10
(EXTRACT)
1. TERMS AND DEFINITIONS
Insured property- property insured under the Agreement, which may represent objects of construction and installation works, the whole range of construction and installation works, objects of construction in progress, as well as funds, resources, machinery, equipment, materials, elements, delivery structures of the customer / contractor necessary for carrying out such works.
Insured persons- capable individuals and / or legal entities, the risk of liability of which is insured under the Agreement.
The insured- legal or capable individual that has entered into a Contract with the Insurer.
The insured may be an investor, a customer, a contractor (subcontractor) under a work contract, or a person who otherwise carries out construction and installation work under a work contract in accordance with the legislation of the Russian Federation.
Insurance compensation- the amount of money subject to payment under the terms of the Contract by the Insurer as compensation for damage caused to the Policyholder / Beneficiary as a result of the occurrence of an insured event.
Insurance case- an event provided for in the Agreement, upon the occurrence of which the Insurer undertakes for the specified in the Agreement insurance premium reimburse the Insured / Beneficiary in accordance with the terms of the Agreement for damage / harm caused as a result of such an event. Wherein:
( Seventy two) consecutive hours are considered one insured event;
b) all individual cases (series of cases) of loss or damage to the insured property that are not the result of death or damage to the insured property for the reasons specified in paragraph "a", which occurred within one period of 168 (One hundred sixty eight) consecutive hours, are considered one insured event.
The beginning of these periods is considered to be the moment chosen by the Insured (if the damage occurred for a longer time, two or more such periods cannot overlap with each other in time).
Insurer- LLC IC “Independent Insurance Group”, established in accordance with the legislation of the Russian Federation for the implementation of insurance, reinsurance, in the manner prescribed by the current legislation.
2. GENERAL PROVISIONS. INSURANCE SUBJECTS
2.1. On the basis of the Rules and the current legislation of the Russian Federation, the Insurer concludes with the Insured Voluntary insurance contracts for construction and installation risks, which may include the following sections:
- insurance of construction and installation works, construction machines, mechanisms, equipment, construction site equipment, existing property, as well as additional costs associated with eliminating the consequences of an insured event (material damage insurance);
- insurance of civil liability to third parties when performing construction and installation works (carried out in accordance with Additional Conditions No. 1, attached to the Rules and which are their integral part).
3. OBJECTS OF INSURANCE
3.1. The object of insurance under the Agreement concluded in accordance with the Rules is the property interests of the Insured (Beneficiary) that do not contradict the current legislation of the Russian Federation, related to:
With the possession, use and disposal of the insured property,
With the need to incur expenses associated with the loss, loss or damage of the object of construction and installation works during the warranty period (warranty period).
The objects of insurance may also be other property interests specified in the Additional Insurance Conditions, which are an integral part of the Rules.
3.2. The following are subject to insurance under the Agreement concluded in accordance with the Rules:
3.2.1. Objects of construction and installation works in accordance with the Contract Agreement (temporary and permanent construction and installation works), including construction materials, structures and equipment to be installed, supplied by the contractor under the Contract Agreement.
3.2.2. Building materials, structures, equipment, works, services provided by the customer, provided that their cost is separately and additionally included in the total insurance amount under the Agreement.
3.2.3. Equipment of a construction site (temporary buildings and structures, administrative and warehouse premises, scaffolding, formwork, utilities, etc.), which is not part of temporary or permanent construction and installation works under the Contract Agreement and specified in the Agreement.
3.2.4. Construction machinery, machinery and equipment used for construction and installation work: bulldozers, excavators, graders, scrapers, road rollers, marking machines, asphalt pavers, road milling machines, cranes, lifts, loaders, concrete mixers, concrete pumps, compressors, etc. that are not part of temporary or permanent construction and installation works under the Contract Agreement and specified in the Agreement.
3.2.5. Expenses in order to mitigate damage in connection with the insured event, if such expenses were necessary or were incurred to comply with the instructions of the Insurer.
3.2.6. Additional costs, if reimbursement of such costs is specifically stipulated in the Agreement:
3.2.6.1. Expenses for dismantling rubble / clearing the territory after an insured event, dismantling, demolition and other similar expenses incurred as a result of an insured event.
3.2.6.2. Expenses for the services of experts, architects, surveyors, consulting engineers and other specialists and similar expenses in the amount necessary to restore the insured property that was lost or damaged as a result of an insured event, except for the costs of drawing up an insurance claim or improving the insured property.
3.2.6.3. Necessary expenses for overtime work, work at night, on official holidays and expenses for urgent delivery of goods, in the amount required to restore the insured property that was lost or damaged as a result of an insured event.
3.2.6.4. Necessary expenses for restoration of contract, design, technical, design, working and accounting documentation, computer data, lost or damaged as a result of an insured event.
3.2.6.5. Necessary expenses for extinguishing a fire or suppressing a fire, as well as for the elimination of damage caused by combustion products and fire extinguishing measures incurred as a result of an insured event.
3.2.6.6. Other expenses related to the elimination of the consequences of the insured event.
3.3. If it is specifically provided for by the Agreement, the following property is subject to insurance:
Existing property that was not mentioned in clause 3.2 of the Rules;
Property (in particular, construction materials, equipment to be mounted) delivered to a construction site or a temporary storage site located outside the construction site, including loading and unloading operations, by vehicles, except for water and air transport, within the territory specified in Agreement;
Property stored outside the construction site (within the boundaries of the insurance territory specified in the Agreement), with the exception of property produced, processed or stored in the possession of the manufacturer, distributor (distributor) or supplier;
Part of the construction and installation project, accepted by the customer according to the acceptance certificate and / or put into operation before the completion of the construction and installation project as a whole;
Reforming catalysts, reformers;
Nuclear fuel cells; high-pressure vessels of a nuclear reactor with built-in elements.
4. TERRITORY OF INSURANCE
4.2 Unless otherwise stipulated by the Agreement, the territory of insurance is the territory of the construction site within the boundaries established by the design and estimate documentation of the Insured, including (but not limited to) on-farm, access roads, territories (sites) for temporary storage of materials and / or equipment located at the construction site or outside, as well as other territories and routes for the transportation of building materials, structures, equipment (excluding transportation by water and air), specially agreed by the parties to the Agreement and specified in it.
5. INSURED EVENTS, INSURED RISKS, EXCLUSIONS FROM INSURANCE COVERAGE
5.1. The insured risk is the anticipated event for which insurance is provided.
An event considered as an insurance risk must have signs of the likelihood and randomness of its occurrence.
5.2. An insured event is an event that occurred during the validity period of the Contract, upon the occurrence of which the Insurer becomes obliged to pay insurance compensation to the Policyholder (Beneficiary).
5.3. Insurance contracts in accordance with the Rules may be concluded on the following conditions:
5.3.1. "With responsibility for all risks."
When insured on this condition, the insured event is the loss, loss or damage of the insured property as a result of any sudden and unforeseen impact, except for the cases specified in paragraphs. 5.4-5.5 of the Rules.
Unforeseen or sudden are such material impacts that the Insured and his representatives were not able to foresee in a timely manner, or could not prevent them on the basis of professional knowledge, which is a common practice in the construction industry.
5.3.2. "With responsibility for the named risks."
When insured on this condition, the insured event is the loss, loss or damage of the insured property caused by one or more of the following events:
5.3.2.1. Fire, explosion, lightning strike, as well as damage to the insured property due to fire extinguishing or fire suppression measures.
5.3.2.2. Earthquake, volcanic eruption, tsunami, landslide, landslide, avalanche, as well as other events related or which, according to formal signs, can be classified as dangerous geological phenomena.
Unless otherwise stipulated in the Agreement, damage from an earthquake is subject to compensation by the Insurer only if the Insured proves that the seismic and geological conditions of the area in which this property is located were duly taken into account in the design, construction and operation of the insured property.
5.3.2.3. Flooding, flooding, mudflows, as well as other events related or which, according to formal signs, can be classified as hazardous hydrological phenomena.
5.3.2.4. Storm, hurricane, typhoon (cyclone), storm, tornado (tornado), hail, as well as other events related or which, according to formal signs, can be classified as dangerous meteorological phenomena.
5.3.2.5. Failure of engineering networks and systems.
5.3.2.6. Hitting a moving vehicle.
5.3.2.7. Fall of aircraft, fall of highly erected blocks and parts.
5.3.2.8. Unlawful actions of third parties.
5.3.2.9. Employee errors, unintentional actions of third parties.
5.3.2.10. Exposure to electricity.
5.3.2.11. Break of glass.
The Insurer has the right to conclude the Contract both for the entire set of risks specified in clause 5.3.2 of the Rules, and for each risk individually or for groups of risks in any combination.
5.3.3. The contract may provide for compensation for damage caused to the insured object of construction and installation work during the warranty period (warranty period), resulting in its death or damage, provided that:
Death or damage is the result of the performance of the Insured (the insured Contractor) or the insured subcontractors of construction and installation works in the performance of post-launch warranty obligations under the Contract Agreement; or
Death or damage occurred during the warranty period due to a reason that arose during the period when the Insured (the insured Contractor) or the insured subcontractors performed construction and installation works under the Contract Agreement prior to the signing of the acceptance certificate for the part of the construction and installation works where the damage occurred.
6. AMOUNT INSURED, LIABILITY LIMITS, FRANCHISE
6.1. The scope of obligations for the payment of insurance compensation, which the Insurer assumes, is limited by the corresponding insured amounts and the limits of liability specified in the Agreement.
6.2. Sum insured - the sum of money, which is determined by the Contract and on the basis of which the amount of the insurance premium (insurance premiums) and the amount of insurance payment are established upon the occurrence of an insured event.
6.3. The insured amount under the Contract is established by agreement of the parties in the amount of the actual (insured) value, which is determined as follows, unless the Contract specifically stipulates another definition that does not contradict the legislation of the Russian Federation:
6.3.1. With regard to construction and installation works - not less than the full contract (estimated) cost under the Contract Agreement at the time of the conclusion of the Contract, including the cost of all temporary and permanent construction and installation works, building materials, structures and installed equipment supplied by the contractor under the Contract Agreement;
6.3.2. With regard to building materials, structures, equipment, works and services supplied by the customer - on the basis of the full contractual cost, taking into account design estimates and payment documents;
6.3.3. With regard to the equipment of the construction site - in the amount of the market value, that is, the cost of acquiring the said property at the time of the conclusion of the Agreement;
6.3.4. With regard to new, newly acquired or acquired construction machines, mechanisms and equipment - in the amount of replacement cost, that is, the cost of replacing equipment with a new one of the same type, of similar capacity or productivity;
6.3.5. With respect to used construction machines, mechanisms and / or equipment - in an amount not lower than the book value of such machines, mechanisms and / or equipment;
6.3.6. With regard to existing property - in the amount of the actual value as of the date of the conclusion of the Agreement.
11. SIZE OF DAMAGE, SIZE, DURATION, PROCEDURE AND TERMS OF IMPLEMENTATION OF INSURANCE INDEMNITY
11.9. Unless otherwise agreed in the Agreement, the damage is determined:
11.9.1. In the event of complete loss of the insured property - in the amount of its insured value minus the value of residues that can be sold or used for their functional purpose.
11.9.2. In case of loss of the insured property - in the amount of its insured value.
11.9.3. In the event of damage to the insured property - in the amount of restoration costs ensuring the elimination of damage caused by the insured event and the restoration of the insured property to the state in which it was immediately prior to the occurrence of the insured event. Depreciation of the damaged insured property is not taken into account when calculating the insurance indemnity, unless otherwise provided by the Agreement. However, the depreciation of materials and spare parts of damaged construction equipment, machinery and equipment used for construction and installation work, which are replaced during the restoration process, are deducted from the amount of the insurance indemnity, unless otherwise provided by the Agreement. If the restoration of the damaged facility is associated with the need for dismantling, installation, commissioning, testing at other insured facilities, combined with the victim for a single functional purpose in accordance with the technical and operational documentation, then the amount of damage is determined based on the total cost of work at the above-mentioned facilities in the limits of the aggregate amount of insurance amounts established for these objects.
11.10. Recovery costs include:
11.10.1.1. costs of materials and spare parts required for restoration;
11.10.1.2. costs of payment for restoration work.
11.11. If the damaged parts are replaced despite the fact that it was possible to repair them without jeopardizing the safe operation of the insured property, the Insurer shall reimburse the Insured for the cost of repairing these parts, but not more than the cost of replacing them.
Additional conditions No. 1
insurance of civil liability to third parties when performing construction and installation work
1. GENERAL PROVISIONS. INSURANCE SUBJECTS
1.1. Additional conditions No. 1 of civil liability insurance to third parties when performing construction and installation works (hereinafter - Additional conditions No. 1) are an integral part of the Rules for insurance of construction and installation risks (hereinafter - the Rules).
1.2. The provisions of section 1 and section 2 of the Rules apply to Additional Conditions No. 1.
1.3. When concluding the Agreement using Additional Conditions No. 1, the Rules and Additional Conditions No. 1 become an integral part of the Agreement and binding both for the Insurer and the Policyholder.
1.4. Under the Agreement, the risk of civil liability of the Insured himself or of another individual or legal entity on which such liability may be assigned may be insured.
The person whose risk of liability for causing harm is insured must be named in the Contract. If this person is not named in the Contract, the risk of liability of the Policyholder himself is considered insured.
2. OBJECT OF INSURANCE
2.1. The object of insurance is the property interests of the Policyholder (Insured persons) related to their obligation, in the manner prescribed by the civil legislation of the Russian Federation, to compensate for harm caused to the life, health or property of third parties during the performance of construction and installation work and / or in the performance of post-launch warranty obligations.
3. TERRITORY OF INSURANCE
3.1. The territory of insurance is the territory of the construction site within the boundaries established by the design and estimate documentation.
3.2. Under the Agreement, the insurance territory can be expanded by 20 m or more along the perimeter of the construction site.
4. INSURED EVENTS, INSURED RISKS, EXCLUSIONS FROM INSURANCE COVERAGE
4.1. An insured event is an event that occurred during the validity period of the Contract, upon the occurrence of which the Insurer becomes obliged to pay the insurance indemnity.
4.2. An insured event is the fact of establishing the obligation of the Policyholder (Insured persons) to compensate for harm caused to the life, health or property of third parties during the performance of construction and installation works or, if provided by the Contract, during the performance of post-launch warranty obligations, as a result of which the Policyholder (Insured persons) were presented with third party claims for compensation for damage caused, provided that:
The harm to third parties was caused during the term of the Agreement;
There is a direct causal relationship between the fact of harm and the performance of construction and installation work or post-launch warranty obligations;
Claims for damages are declared in accordance with and on the basis of the norms of the civil legislation of the Russian Federation within the statute of limitations established by the current legislation of the Russian Federation.
10. SIZE OF DAMAGE, SIZE, PROCEDURE AND TERMS OF IMPLEMENTATION OF INSURANCE INDEMNITY
10.8. The amount of insurance compensation includes:
10.8.1. For insured events related to harm to the life and health of third parties:
Lost earnings (income) by the victim, determined in accordance with the civil legislation of the Russian Federation, which the victim had or could have;
Additional costs incurred due to harm to health, including costs of treatment, additional food, purchase of medicines, prosthetics, outside care, spa treatment, purchase of special vehicles, training for another profession, if it is established that the victim needs these types of assistance and is not entitled to receive them free of charge;
Payments to persons who, in accordance with the civil legislation of the Russian Federation, have the right to compensation for harm in connection with the death of a breadwinner, in the amount of that share of the deceased's earnings (income) that they received or had the right to receive for their maintenance during his lifetime;
Burial expenses.
10.8.2. For insured events related to damage to property of third parties:
Reasonable and necessary expenses for dismantling the property that was damaged;
The actual value of the lost property at the time of the damage, minus the value of the remains suitable for further use;
Expenses for the repair (restoration) of damaged property. The costs of repair (restoration) include the necessary and reasonable costs for the purchase of materials, spare parts (minus the wear and tear of materials and spare parts replaced in the process of restoration) and payment for repair (restoration). If the costs of repairing (restoring) damaged property exceed its actual value at the time of the damage, then the property is considered lost.
