Cluster info · Construction guarantees
Contractor's All Risks (CAR) insurance: for whom, for what?
Contractor’s All Risks (CAR) insurance covers material damage occurring during the works phase. It is a key estate-protection for the principal.
1. Covered risks
Fire, theft of materials, vandalism, storm, water damage, partial collapse. See also construction insurance.
2. Who subscribes?
Usually the principal (buyer). Covers all stakeholders: contractors, subcontractors, architect. Often imposed by the financing bank.
3. Cost and duration
0.1% to 0.3% of total site cost. Duration = that of the site + maintenance warranty period (usually 6-12 months after reception).
Common questions
Is CAR mandatory?
No, but almost systematic for new builds or major renovations.
Who pays?
Often the principal, sometimes the contractor depending on the contract.