A Practical Workshop on Dealing With Construction Insurance

This Oxford training workshop, Dealing with Construction Insurance – The A to Z of Handling Claims and Issues is presented to enable delegates to understand the key features of this critical construction insurance product and coverage aspects. It is a contractual requirement that is often over looked by project personnel and management while preparing for site mobilization and commencement of physical work on the ground.

This Oxford workshop is led by an experienced and well known subject facilitator who uses inter-active learning methods to enhance the learning process. The delegates will be taught the technical aspects of the insurance coverage and also shown how claims are handled. Focus will be given on two main documents - the Contraction All Risks (CAR) and Erection All Risk (EAR) policies both of which are a requirement under various local and international construction contracts (FIDIC, for example).

Case studies will be used to ensure that the learning is effective and equally enjoyable.

This Oxford workshop will highlight the following key features:

• A Study of the Contraction All Risks (CAR) Policy Wording – understanding using the Munich Re of Germany standard wording format
• Considering Risk Appetite and Concerns of the Underwriter when looking at New Project Insurances
• Appreciate How Claims are Evaluated and Managed by different Insurance Companies
• Special Attention on Specific Clauses, Endorsements and Warranties of the C.A.R. policy
• Discussion on Best Practice to obtain a more Effective Coverage from the Policy

Objectives

At the end of this Oxford workshop, you will learn to:

• Understand the Basic Principles of Insurance
• Learn how the Contraction All Risks (CAR) policy is used as a risk transfer mechanism
• Analyze the policy operative clause and endorsements applicable to various risks scenarios
• Learn how the the policy responds to construction insurance claims
• Determine policy terms like Sum Insured, Limit of Liability and Period of Cover in regards to policy drafting

Training Methodology

This Oxford Dealing with Construction Insurance – The A to Z of Handling Claims and Issues workshop will utilize a variety of proven adult-learning techniques to ensure maximum understanding, comprehension and retention of the information presented during the five days.

The facilitator employs active - learning techniques, group discussion and role play(s) to enhance the training session. The delegates will also be provided a few challenging case studies with actual site scenarios – and the facilitator will guide them through achieving appropriate and effective solutions. A proper understanding of the Contraction All Risks (CAR) policy coverage is essential to appreciate this activity.

Meanwhile delegates are urged to raise own work related engineering insurance experience to the class for further review and group discussion.

Organisational Impact

The knowledge gained over the five days will enable staff to appreciate the policy and specific operative issues relating to this insurance coverage. The specific details are presented here:

• Appreciate the Insurance Coverage Issues
• Learn how to apply policy terms in obtaining better Compensation for the Organization
• Apply correct policy deductible and use appropriate clause(s) for specific projects
• Use correct Risk Management methods to safe guard the project risk in question

Personal Impact

This Oxford Dealing with Construction Insurance – The A to Z of Handling Claims and Issues practical workshop will be an eye opener to industry personnel and the like. Using real life case studies and examples the facilitator efforts will clear all doubts on coverage and policy issues. Delegates will take home an excellent knowledge and know-how – this will definitely bring better results in their own work contributions when in office.

Course Outline

Day 1 An Overview & Contractual Requirements of Construction Projects

• Projects in the MENA Region
• The Need for Insurance in Construction Projects
• Projects Contract Administration
• Conditions of Contracts (FIDIC and other contracts)
• The Insurance Industry and the Role of the Insurance Authority
• Principles of Insurance

Day 2 Application of the Policy and its Coverage

• How the CAR policy is handled?
• Munich Re Standard Wording and Formats in Various Regions
• The Difference with the EAR Policy
• The Sections (I & II) and Relevant Coverage
• What is Section III Coverage ?
• Discussion on Period of Cover, General Exclusions and Policy Conditions

Day 3 Material Damage under Section 1

• Policy Operative Clause
• Sum Insured
• Exclusions
• Basis of Loss Settlement
• Design Coverage - DE 3 and Related Coverage

Day 4 Third Party Liability (referred as Third Party Cover)

• Who are Third Parties?
• Limit of Liability
• Exceptions and Conditions
• Interesting Clauses and Endorsements
• Role of Loss Adjusters in Claims Handling

Day 5 Handling Project Risks and Claims Management

• What are Underwriters Concerns?
• Risk Management and How it Works
• Claims Management and Progress Monitoring
• Declined Claims
• Case Studies
• Computation of Adjustment