Contractors' all risks (CAR) insurance is a
non-standard insurance policy that provides coverage for property
damage and third-party injury or damage claims, the two primary types
of risks on construction projects.
Damage to property can include improper construction
of structures, damage that happens during a renovation and
damage to temporary work erected on-site.
Third parties, including subcontractors, may also become
injured while working at the construction site. CAR insurance not
only covers those associated risks, but also bridges these two types
of risks into a common policy designed to cover the gap between
exclusions that would otherwise exist if using separate policies.
CAR insurance coverage is common for such construction
projects as buildings, water tanks, sewage treatment plans, flyovers