ABSTRACT
Since its inception, construction insurance has been transacted on the basis of each of the parties involved in construction providing insurance cover compatible with the responsibilities allocated to it and the liabilities to which it is exposed. Its purpose has been and still is to ensure that the completion of the project is not hindered by financial problems emanating from loss or damage due to hazards and risks eventuating during the period of construction. Although the owner/employer and the designer must obviously be conscious of the lifetime hazards and risks related to the location of the project, construction insurance is usually only expected to deal with the project’s exposure to risk during its construction and the Defects Notification Period that follows.
