Tell Webber Insurance if the value or scope of an insured construction project changes materially.

Project values can change because of:

• Contract variations
• Additional works
• Material changes
• Increased labour or material costs
• Design changes
• Changes to the project scope

The declared value under your Contract Works Insurance should continue to reflect the project being insured.

Does the policy automatically allow for increases? #

Some policies contain provisions for:

• Variations
• Escalation
• Increases in contract value

However, the amount and operation of these allowances vary.

Do not assume every project-value increase automatically falls within an escalation provision.

When should the policy be reviewed? #

A material increase can require review of:

• Revised contract value
• Reason for the increase
• Changes in scope
• Construction period
• Existing policy limit
• Insurer approval requirements

If the declared value no longer reflects the insured project, the policy may not respond as expected following a significant loss.

The exact consequences depend on the policy wording and circumstances.

Contact our team when the value or scope of an insured project changes materially.