Construction insurance for major projects

Who it is for

Construction and engineering underwriters, major project brokers, risk engineers, construction contract lawyers, insurance managers at industrial project owners.

What you will be able to do

• ·Place the date on which a structure stops being a construction site and becomes an operated asset, and say which policy answers on either side of that date.
• ·Separate, within one loss, the defective portion from the consequential damage, and say what each of the three common wordings puts on whom.
• ·Reconstruct the delay attributable to covered damage on a project already running late, and deduce what the deductible in days leaves standing.
• ·Spot the scope boundaries where damage falls between two policies, starting with off-site storage and early commissioning.
• ·Say what a waiver of subrogation extinguishes and what it leaves intact, deductible and delay penalties included.
• ·Assess what sectional acceptance does to the maintenance periods, and locate the most exposed section on the day the complex first runs at full load.
• ·Say, on a delay caused by a natural event, what force majeure relieves and what insurance does not owe, and explain why both protections can fall away together.
• ·Separate, on an industrial series, the failed machine from the exposed fleet, and say what the aggregation clause changes to the amount.
• ·Locate a site's exposure peak in its schedule, and name the prevention lever that acts on it.
• ·Count a testing window against a real calendar, shutdowns included, and say what is left of delay cover once that window has closed.
• ·Track one item from the shop to the site and name, segment by segment, the contract that holds it, spotting the interval where none does.
• ·Separate a site's normal progress, a change to the project and aggravation of the risk, and say what each one calls for.
• ·Compare a sum insured with the actual final value of the works, variations, price revision and currency included, and deduce what the proportional rule leaves, ancillary heads included.
• ·Say, for a given party, whether it is insured, whether its own property is, whether the insurer has waived recourse against it, and what the waiver leaves standing under the works contract.
• ·Allocate the burden of proof on a site loss, and say what the physical disappearance of the works changes for each of the two parties.
• ·Place a structure within the scope of defect pre-financing, structure by structure rather than project by project, and name what that cover does not pay for.
• ·Say, for a given configuration, whether the works are repaired before or after attribution, and locate the gap that configuration leaves.
• ·Compute a delay penalty and a delay indemnity separately on one slippage, then say how the contract brings them together.
• ·Build an opinion on a risk with no history by breaking down the asset, writing scenarios and naming the data that is missing.
• ·Classify property affected by an urban site as works under construction, the owner's existing property or third-party property, and say what proof each class calls for.
• ·Quantify a reinstatement by separating like-for-like reconstruction, the upgrade cost and ancillary expenses, and say which cap applies to each.
• ·Climb a subcontracting chain up to the critical act, and say at which link compensation stops and why.
• ·Locate when a notification period starts on a progressive defect, and say what the insurer must establish for forfeiture to operate.
• ·Compare the date of a project's first physical operation with its policy's real inception date, and express the gap in days.
• ·Compare, layer by layer of a program, the definitions that decide the amount, and name the one whose divergence opens a gap.
• ·Set a contract transfer clause against the policy supposed to follow it, and say what stays with the insured if the contractual cap is set aside.
• ·Locate when an interruption of works starts, say what cover becomes beyond that, and on what conditions.
• ·Classify an undertaking in the file as insurance or a bond, say whether it is on demand or accessory, and who carries its final burden.
• ·On works in an occupied site, say which contract answers for damage to the installation in service and which for the production stoppage, or establish that neither does.
• ·Say, on an international program, against whom the local entity has a claim, who benefits from the difference in conditions, and what an arbitration clause does not prevent.
• ·Separate, on a loss invoice, what is mitigation, repair and acceleration, and say what is paid beyond the sum insured.
• ·Quantify what a month of adjustment costs a project, and name the two moves that free the not seriously disputable share.
• ·Classify a defect as design, workmanship, material or mere non-conformity, and date the state of the art serving as reference.
• ·Delimit the defective part by one of the three tests, physical, repair or functional, and quantify what each reading leaves to consequential damage.
• ·Distinguish, within a defect exclusion, proof of the defect from proof of its causal role, and say what three wordings do with concurrent causes.
• ·Say what a policy owes for undamaged items arising from a faulty procedure, and name the two acts to take before commissioning an inspection.
• ·On linear works, say what dispersion protects against and what it does not prevent, and count the losses one event produces under the definition adopted.
• ·Say what a reservation protects and what acceptance purges, and distinguish the cost of making good from damage caused while doing it.
• ·After a settlement, establish what aggregate remains, locate the moment to ask for an extension, and assess a non-notification on the right object.
• ·On a public contract, allocate a claim between the public entity and the insurer, and say what an unreserved service order entails.
• ·Cap an indemnifiable share between a deductible in days and an indemnity period running from a fixed date, and set that period against the project's longest remanufacturing lead time.
• ·Say, on a financed project, who receives the indemnity, above what threshold it repays debt instead of rebuilding, and which loan lines to check before placing the program.
• ·Classify a testing incident as physical damage, contractual underperformance or gray zone, and say what each one opens.
• ·Sort the points of a risk engineering report into observation, recommendation and condition, looking in the contract for the cross-reference that decides the status.
• ·Place a defect under the statutory warranty that fits it, dating from acceptance and applying the severity test peculiar to each.
• ·Count a site's equipment and say, for each item, which contract answers for damage to the asset and which for damage caused by it.
• ·Distinguish, at a given moment of the works, who owns them and who bears the risk, and deduce who has an interest in the cover.
• ·Check, before an acceptance, that the four regimes changing state that day interlock, and locate the interval a tacit acceptance opens.
• ·Separate the three populations a series defect creates, and say which comes under the policy, which under the supply contract and which under neither.
• ·Distinguish a performance guarantee from insurance, say what its cap becomes over the years, and name what neither it nor the policy covers.
• ·Lay out the maintenance period expiry dates of works accepted in sections, and say what a defect still finds depending on when it appears.
• ·Say what the insured owes its insurer after being paid, and how recovered sums are shared.
• ·Separate, within a commissioning delay, what arises from indemnifiable damage from what does not, and say which of a suppliers' extension's two limits stops the count.
• ·Quantify the part a breach of a condition precedent actually played in water damage, and say what that part changes according to how the clause is drafted.
• ·Compute a neighbouring building's distortion from recorded settlements, and say why monitoring that stayed within its thresholds establishes no defence against the neighbour.
• ·Place, on a site in an exposed zone, the season where value in place multiplied by destroyed share is greatest, and say what a shift in the programme changes there.

The syllabus

The assessment

The certification is validated by a multiple-choice assessment, unproctored and with a public answer key. It gates delivery of the certificate at the threshold below; it does not prove knowledge under supervision.

63 questions·threshold 80 %

• Validation quiz: construction insurance for major projects

What this certification does not prove

This certification attests to a reasoned reading of the contractual mechanisms of construction insurance and to the classification of facts on a site loss. It attests to no underwriting or claims-handling experience, no civil engineering competence, no professional authorization, and it prepares for no regulatory examination.

Part of the specialization

Construction of major projects