Public liability insurance

Public liability insurance—construction projects

Public liability insurance provides cover for personal injury, death or damage to third party property. It also provides cover for the claimant’s costs and the insured’s defence costs.

Most building contracts provide that the contractor will be liable for personal injury or death caused as a result of carrying out the works and for any loss or damage to third party property which it causes due to its negligent acts, errors and omissions. However, each of the standard form contracts is slightly different in its approach. If the building contract is oral, or if the written terms do not cover either liability or insurance obligations, then the common law provisions will prevail.

See Practice Note: Public liability in construction—analysis of common law provisions.

For a general overview of public liability insurance, see Practice Note: Public liability insurance—essentials.

JCT provisions

Under the JCT contracts, the contractor is liable for and indemnifies the employer against

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