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Contractors Plants and Machinery

What is Contractors Plants and Machinery?

Contractors Plants and Machinery is a policy that covers the contractor for loss or damage to contract works, contractors’ plant and machinery and material on site that may occur during the course of construction. Additionally, the policy will extend to cover the contractor’s liability to members of the public, (third parties), for death, injuries or damage to their property arising out of the contractor’s negligence.

What is covered?

CPM insurance covers all physical damage done to a contractor’s machinery that is not specifically excluded by the policy. Basically, the policy covers for fire and accidental damage to the insured plant including theft and burglary. Cover is applicable to the Machinery described in the insurance schedule while in operation or at rest, being dismantled for the purpose of cleaning or inspection or removal to another working location.

What are the benefits?

  • The payments cover the cost to repair or replace the affected machinery, which is covered at work or rest, while on any job site owned by a third party and even when dismantled or reassembled for maintenance.
  • Third party legal liabilities.

What is not covered? This includes accidents not due to gross negligence and acts of God, such as falling trees or storm damage.

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