Sandrine Van Malder - Senior Account Manager
As a syndic (property manager), are you increasingly confronted with renovation projects? Then you know that this entails a lot of risks. Just think of the risk of damage to the work carried out, theft of materials on the site, damage of neighbours' property... Contractors' All Risks (CAR) Insurance is the solution for you! With CAR insurance, you can enjoy complete peace of mind.
CAR insurance usually consists of two sections:
Section 1 can be compared to comprehensive insurance. The construction works, including the building materials and installations, are covered. We also insure the parts of the building that are not being renovated under the guarantee of "existing goods".
CAR insurance not only offers protection against all own damage but also against damage to third parties. For example, Section 2 insures your liability as a result of the works. This includes both standard liability and error-free liability (neighbour nuisance). As a classic example, we can think of cracking, or water infiltration that arises in the neighbour's house as a consequence of the works carried out.
With CAR insurance, you build in complete security. Namely, in the event of damage to the construction works, it is not necessary to look for the liable party. This avoids lengthy discussions between parties, which means that the works can resume quickly.
To guarantee a carefree realization of your project, we recommend you take out CAR insurance yourself and not depend on the CAR insurance of a third party such as the contractor. It is not always clear whether the contractor is adequately insured and under what conditions (insured parties, insured guarantees, exemptions, etc.). By taking out CAR insurance as a syndic, you ensure extra security.
Many old buildings need a thorough renovation, and something can always go wrong. These renovations present a risk that thus complicates the property manager's work. In the event of damage, it is of course of paramount importance that you can fall back on your CAR policy.
In addition to the CAR insurance, there is also the Ten-Year Liability Insurance.
For works or renovations of a house/apartment in Belgium that could endanger the stability or solidity of the building, one is legally obliged to take out a Ten-Year Liability Insurance. (Examples of such works are piercing load-bearing walls or beams, plastering or insulating external walls, roof renovation, etc.)
Unfortunately, often during these works, something goes wrong. Even though an expert's report usually indicates mistakes made by the contractor or architect, sometimes construction errors come to the surface much later. For this reason, the law states that the contractor and architect remain liable for serious defects that can affect the stability or solidity of the home for up to 10 years after completion of the works.
This insurance, therefore, insures the damage incurred during ten years following the acceptance of the works and resulting from the liability of the insured.
Will your next renovation project start soon? Concordia, as the insurance partner of CIB with years of experience in the construction sector, is happy to assist you.