ABSTRACT
The construction industry has a poor performance record in respect of death and injury to workers during construction operations. In some circumstances, the employer or contractor may employ a loss adjuster on their behalf in order to negotiate with the insurance company's own loss adjuster. If the employer fails to insure as requested by the contract, the principal contractor can insure the works and the existing building. Principal contractors have a liability to indemnify the employer against injury to persons and property. An all-risks policy insurance in the joint names of the employer and contractor must be provided in respect of physical loss or damage to the work executed, site materials and existing structures. Each policy must be clear on the terms of insurance, and be accompanied by certain exclusions of liability. Insurers in the construction industry have become concerned with the high level of claims for fire loss and damage on construction sites.
