In addition to the risks covered by the home insurance the Construction Insurance covers also damages incurred as a result of construction works.
Policy covers insurance of:
- Already built part of the property.
- Works performed and materials applied at the site.
- Work and materials to be used in the further construction process.
- In the course of renovation of an apartment.
Construction Insurance Policy is necessary for construction works, which require building permit or other type of document confirming that the construction works have been approved.
Construction insurance policy must be purchased for the entire length of construction works.
Even if the home is being built or reconstructed by you instead of using the services of a construction company, it is necessary to have the Construction Insurance due to the fact that damages incur quite often in construction process. Besides, such damages can be much larger than potential damages to an already finished real property - a house or an apartment.
If in accordance with the laws of the Republic of Latvia the repair or renovation works in the apartment or house require a building permit, it is necessary purchase the contractor's civil liability insurance for the entire duration of the works.
Contractor's Civil Liability Insurance compensates damages, if they were incurred directly in the result of the construction works specified in the policy and they were incurred and identified in the location specified in the policy, namely, at the particular address.
Contractor's civil liability insurance compensates the following expenses:
- Damages caused to the property of third parties.
- Expenses linked with medical treatment, temporary incapacity for work, loss of capacity to work, death and funeral of third parties.
- Legal expenses agreed in advance with the insurance company.