Who needs construction and contractors plant Insurance?

Anyone who is undertaking a contract involving the construction of a building or infrastructure project.

Examples of where a Construction or Contractors Plant policy are utilised are when building or erecting:

  • A factory or other commercial development
  • Housing developments
  • All infrastructure projects  such as Power Stations, Treatment works and Pumping stations, Roads and Bridges, Wellhead pads and other Oil fields general construction
  • Pipelines

Anyone using or supplying Contractors Plant and Machinery, and anyone undertaking the installation of machinery or plant as a standalone contract without the construction of the building to house it, will also need cover for the installation risk.

Cover can be arranged on a Principal Controlled Basis (PCB)+ or on a Contractor Arranged Basis (CAB)+, Contractor arranged policies are normally due to a requirement to arrange the cover under the contract terms and conditions.

Continue reading for more detailed information about these covers or go to the key facts documents at the bottom of this page.

Construction Plant Insurance

Construction insurance is an overall name given to various types of insurance policies that provide coverage for property damage, third-party injuries or damage claims covering the construction of buildings/infrastructure and /or the installation of Plant and Machinery.

The first policy Almaseer wrote back in 2012 was a Contractors All Risks Policy and since then construction business in all its facets has been central to our business.

Many factors dictate the type of construction insurance coverage one would need for a given project or business. These factors include, the person’s relationship to the project (contractor, property owner, subcontractor, etc.), the type of entity buying the insurance (business or individual), and the type of property to be covered.

We are able to offer a full range of Insurance policies to provide cover for your construction risks be they Project related or on an annual basis.

We are also experienced in handling major construction losses (multimillion USD) and have close working relationships with Specialist Loss Adjuster and Surveyors who operate in the region as well as specialist risk Surveyors who undertake work on our and our reinsurer’s behalf.

We can provide cover based on a standard Munich Re form which can be endorsed to cater for the majority of contracts seen within Iraq but we can also provide cover on Client Specific wordings (Basra Oil Company form for example) or Manuscript / Bespoke wording subject obviously to reinsurance support.

Please Contact Us where we will be happy to assist you.

Contractors Plant & Machinery Insurance

Anyone owning or leasing contractors plant or equipment needs to ensure the plant and machinery assets are protected from a range of events that could cause damage or loss to their equipment or where you are responsible for either for the replacement or repair of leased Machinery & Plant.  The principal or lease company will often insist under the contract terms that insurance cover is placed.

We can provide cover for Contractors Plant and Machinery under our Construction/Erection All Risks + policies. We also write Contractors Plant and Machinery on a standalone basis.   Standalone cover is used when the contractor doesn’t place the Construction All Risks policy or equipment is being used between several contract sites, and where a contract allows it makes more commercial sense to have a policy covering all sites.  Where the Principal is providing cover on the Works a standalone policy will be the only option available to conform with contract terms.

Our policies use the industry standard Munich Re All Risks CPM wording or in certain cases or where requested the Oil Industry Plant and Machinery Floater Form. Contractors Plant and Machinery cover is one of the staples in our underwriting portfolio.  We cover all trades from loading equipment at ports, agricultural equipment through to highly specialised mobile drilling equipment, cranes (mobile and static) and even portable laboratories.  For more information see the Key Facts section or Contact us 

Key Facts

Please check out the key facts details in order to find the information and technical details you need to know about your insurance.

Quotations and Indications

Whilst we will undertake to provide a quotation or indication if requested for business presented to us, we cannot make any promise or guarantee that we can provide a quotation or indication.

Where we do provide a Quotation or Indication it will be ‘open’ for a number of days during which it can be bound.  If cover is requested after this time has expired there is no guarantee that:

  1. Terms will be the same as originally indicated
  2. We will be able to provide a quotation or indication

We may therefore have to requote the risk and additional information may need to be supplied.

Where we have indicated that the cover is ‘Subject to’ a number of items either being provided or completed prior to issuing the policy and going on cover.  These must be completed and confirmed acceptable by us in writing before we can issue coverage or where we have waived them this will only be if we have confirmed the waiver in writing.

General FAQs

The Financial Services Sector has strict rules in respect of Sanctions and Money laundering. By supplying us with the information we have requested we are able to run sanctions checks for sanctioned companies and individuals. We must do this to comply with Iraqi Government and Global Sanctions legislation. Our reinsurers, when reinsurance is purchased also request the same information about you from us which is another reason we request it as without this we would be unable to obtain reinsurance and therefore be unable to offer you cover.

Occasionally we will request further information to assist in sanctions checks. This is not unusual as many people and sometimes companies, share the same name as an individual or entity appearing on a sanctions list. The additional information assists in making sure the correct entity or Individual is approved or rejected.

The contract along with the Statement of Work and if available Project Plan, provides us with information as to what you are doing. This information is key to the underwriting process and will normally contain the Material Information that you have a duty to disclose to us. We are sometimes within the contract asked to assume ‘Liability assumed under Contract’ and/or ‘Cross Liabilities’, and to do this  we have to have sight of the contract to understand exactly what risk is being transferred from you to us as your insurer and in turn for us to transfer the risk to reinsurers.

We understand this which is why we are prepared to sign non-disclosure agreements which make it clear what we do with your data and who has sight of it. If you are still reticent about supplying the contract Contact Us to see what we are able to do.

Yes. As a fully licenced Insurance and Reinsurance company we are regulated by the Iraqi Diwan who annually renew our licence. All Insurance/Reinsurance companies and Brokers (Insurance and Reinsurance) who state they are regulated in Iraq are issued a licence which is renewed on an annual basis with a licence confirmation for the current year issued.

We accept a number of currencies these being Iraqi Dinar (IQD), US Dollar (USD) and Euro. We do not accept other currencies for Premium Payment.

No, we do not accept crypto currencies of any sort for payment.

All our policies contain the following which makes it clear how your data is utilised by us and others:

"How we use your information:

The information supplied to us by you may be held on computer and passed to other insurers and reinsurers for underwriting and claims purposes.

We may use your information for underwriting and claims purposes, statistical analysis, management information, market research, audits on the handling of claims, systems integrity testing and risk management.

We will only share your information as described in this notice or where we are required or allowed to do so by law.

We may record or monitor telephone calls for security and regulatory purposes.”

In certain claims circumstances we use standard industry protocols which enable us to provide ‘sanitised’ data where the claimants details are removed so as not to make the individual person identifiable.

We do not release or share information except under the circumstances shown above.

Related Sector FAQs

This is not unusual issue to arise, especially with the current global issues around covid and travel restrictions on key staff or availability of key equipment, materials, or components due to delays in the supply chain. Extensions to cover can be arranged however you will be asked to provide up to date information as to the state of the works and the project revised finish date.

We will need substantially more information concerning extensions to cover where work on sites has or will be fully suspended for any period.

Provided we have enough information about the risk which needs to include the project specification and any relevant financial information we can sometimes, but not always provide a Very rough Indication of costs. 

This is not a quotation, is non binding and to confirm a bindable figure is subject to all underwriting information being supplied. 

Where we are being asked to offer a VRI or with full information a Quotation, for projects that may not start for a considerable period we cannot commit pricing as reinsurance rates can and do fluctuate in Iraq due to the current regional geopolitical issues.

Yes, we can and do arrange surveys of risks that we cover. Our survey partners provide survey services throughout the MENA and wider region for both the petrochemical and retail sectors to Internationally acceptable standards. These cover the construction aspects of the risk but can be extended to include operational aspects if so required. Contact us to discuss your survey requirements.

Yes, both types of construction policy can have Construction Plant and Machinery included within your Insurance Policy. Alternatively, if you have plant and Machinery which floats over a number of sites that you are working on a standalone Contractors Plant and Machinery Policy may be more appropriate and also a more cost-effective option Contact us for more details or take a look at the specific Key Facts under the ‘Construction’ Sector button.

Ideally we would prefer you to use the form that can be found here for Contractors Plant and Machinery if you are unable to do this then provided you can supply the same information as requested in our downloadable schedule in a legible format (word, XL or PDF document) we can transfer and use that information to underwrite your Contractors plant risk.

It depends on many factors including the class of business, sector the Insured operate in, financial security requirements. We use recognised reinsurance markets to provide our capacity which would normally be S&P A- or equivalent or higher.  For smaller domestic projects or for our retention on larger projects have a facility we can utilise.

Usually yes, provided there is an insurable interest. It is not unusual for the contract to specify several interested parties to be named as Additional Insureds. We may ask for proof of insurable interest for an Additional Insured but this happens rarely as it is usually clear in the contract where interest lies.

A claims experience is important integral part of the underwriting process. One of the misconceptions is that by not supplying the claims experience you will get better terms. The opposite is true as with no claims experience, we and our reinsurers must rely on industry standard data and will always err on the side of caution regarding rating. Or in certain circumstances will be unable to provide terms or go on cover without a confirmed experience being produced. 

Insurance can be complicated to arrange correctly in line with contract terms and conditions, we will often need to talk to our reinsurers many of whom are in different time zones and have different working weeks. 

We also need to assess the data supplied, ask questions for additional/clarification of information if required and for some specific classes with high claims frequency have an actual model run. We cannot do these in a 24-48 hour period and provide anything like our best terms. 

Larger more complex risk will usually require a minimum of 14 days produce terms, preferably longer for more complex risks. In this time period - we have to raise questions, you to supply answers, potentially obtain a survey if one is required, contact reinsurers, obtain and assess their terms in line with our requirements and that of the contract, prepare the quotation and answer any items raised in the RFQ, then finally present terms.


A company’s wealth can be affected by circumstances beyond their control, for example a fire. An insurance policy enables a company to transfer the risk from fire and other perils by way of an Insurance contract (the Policy) to a third party (the Insurer) who will compensate you / Indemnify a third party for the damage or loss, subject to the policy terms conditions and exceptions.

You need to be certain the cover is correct for the risks being insured, if it is not then any claim may be withheld or reduced by the application of Non-Disclosure, Average or Indemnity protocols.

We have a track history in dealing with both large and small losses, for complex losses we and our reinsurers will nominate Independent Loss Adjusters to work with you to calculate your loss in line with the policy terms and conditions.

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