Construction & Engineering Policies

We at JOFICO provide the collective engineering policies for the core benefit of our customers which includes but not limited to the following policies:



 1- Contractor’s all risks insurance (C.A.R.)


The Basic cover of (C.A.R) Policy is to offer Comprehensive Protection against Sudden and Unforeseen Loss of or Damage to Civil Engineering projects like Residential and Office Buildings ,Power stations , Factories Roads , Sewerage and water Distribution Projects, Harbors ,Airports, Bridges, Dams, Tunnels, Canals, Stadiums, …etc.


  • The Contract Works including existing Structures
  • Infrastructure and landscaping works
  • The Construction Plant & Equipment
  • The Construction Machinery
  • Legal Liability arising out of Property Damage or Bodily Injury suffered by Third parties and occurring in connection with the Contract Works.


 2-  Contractor’s Plant &Machinery all risks (C.P.M.)


Contractors’ Plant and Machinery Policy (C.P.M.)  gives the Contractors the insurance protection to the Plants and Machinery whatever its type like Cranes, Lifting Equipment, Road Construction Machinery, Paving Equipment ,Excavators and drills , etc………

The Cover is provided on an Annual basis as all risks cover with named exclusions, conditions and extensions to cover the Plant and Machinery while they working and /or in static


The company is Liable for Loss or Damage due to the following causes of loss:


  • Sudden and unforeseen accidental loss or damage
  • Fire ,Theft, Burglary
  • Flood, Inundation, Windstorm
  • Earthquake, Landslide and Volcanism


 3- Machinery breakdown insurance  (M.B.D.)


Machinery insurance provides cover against a wide range of losses from breakdown of plant production equipment, boilers, pressure vessels, heating and cooling equipment, etc…….

In addition to material damage, equipment breakdown frequently results in substantial consequential loss such as business interruption (e.g. power generation, refrigeration system, etc…..) insurance can be extended to include these consequential losses either as stand-alone covers or as endorsement to the direct damage cover.

The Cover provided on an Annual basis and the company is normally Liable for Loss or Damage due to the following causes:


  • Faulty Operation
  • Physical Explosion
  • Storm, Frost
  • Short Circuit, Excess Voltage and Other Electrical Causes


 4- Loss of profit following Machinery breakdown insurance


Similar to Loss of Profits following Fire, Machinery Loss of Profits covers the financial consequences of a machinery breakdown.

The cover is limited to the actual loss of gross profit sustained due to a loss covered under an MB policy, and also insures costs incurred in reducing the amount of a claim.



 5- Electronic equipment’s insurance (E.E.I.)


The Electronic Equipment insurance policy offers complete protection for all types of electronic equipment such as entire Information Technology (IT) installations, telephone exchanges, cell phone networks, specialized electronic medical equipment, electronic measuring equipment etc.

The policy is of an all risks nature, covering unforeseen accidental loss or damage. The covers include material damage, business interruption, increased cost of working, comprehensive software and software Business Interruption (BI).

The company normally liable for loss or damage due to the following causes:

  • Fire, Lightning
  • Explosion, Smoke
  • Water, Humidity
  • Burglary
  • Human Errors
  • Lack of Skills
  • Short circuit and Other Electrical Causes


 6- Erection all risks insurance (E.A.R.)


Erection all risks insurance offers the contractor the benefit of having simple, complete cover based on the all risks model, encompassing the risks of fire, explosion and natural hazards.

This type of insurance was designed to protect contractors during the erection and testing of facilities against Sudden and Unforeseen Loss or Damage.


 7- Deterioration of stock in cold storage insurance  (D.O.S.)


D.O.S Covers Loss or Damage occurring to the Goods in Cold Storage due to Sudden and Unforeseen Breakdown of Refrigerant Machinery

The Coverage can be extended to include some other Risks, the most important are:

  • Strike, Riot & Civil Commotion
  • Failure of Public Power Supply
  • Failure of Non-Public Power Supply



 8- Boilers and pressure vessel insurance policy (B.I.).


The policy is designed to cover explosion (the sudden and violent rending or tearing apart of the permanent structure of a boiler or other apparatus by force of internal steam or fluid pressure) and collapse (the sudden and dangerous distortion of any part of a boiler or other apparatus by bending or crushing caused by steam or fluid pressure).

Among covers provided by the policy are damage to the boiler or other apparatus described in the schedule, damage to auxiliaries and surrounding property e.g. buildings and machinery, liability of the Insured at law for fatal or non-fatal injuries sustained by any non-employee, liability of the Insured at law for damage to property belonging to third parties. The policy can also be extended to cover inland transit, extra cost for overtime, express delivery and airfreight.

General policy exclusions include defects due to wearing away or wasting of materials, grooving or fracturing whether by leakage corrosion or by fuel action, failure of individual tubes in boilers of water tube, damage to Insured’s property caused by fire whether resulting from explosion or any other cause whatsoever, loss sustained by stoppage of work, loss or damage arising out of hurricane, cyclone or other convulsion of nature, any kind of consequential losses.




 9- Decennial liability Policy (D.L.).


Or “Inherent Defect Insurance” is insurance that is taken out (by the contractor or principal) to cover costs associated with the potential collapse of the building after completion. The names derives from the fact that it covers the 10 year period after completion of the project but there is no compulsory requirement to insure. The cost of the insurance can significantly increase construction costs and may be up to 1.5% of structural value (including the Technical Inspections that the insurers mandate) .