A large Indian construction company was awarded a contract for gas field development and construction of Gas Treatment Unit in Algeria. This scope included Study and Design, Detailed Engineering, Procurement and Supply, Fabrication, load-out, Transportation, Construction & Installation, Testing, Mechanical Completion, Pre-commissioning, Commissioning, PGTR, Training and documents handover, Assistance to operation team for 03 Months. The client was looking for a decennial liability policy and information on steps involved in procurement of the policy.

The challenge was to understand the local laws and importance of risk management to ensure there are no gaps during the policy procurement. Our advisors expertise assisted the local broker supply their client with listing appropriate construction standards and protocols, estimate cost of insurance, premiums, documents needed, duration and policy procurement timeline, payment options, next steps, and address their queries.

It was important to understand the Algeria’s Article 554 Civil Code 1975 where the architect and the contractor are jointly liable for 10years for any total or partial destruction even in case of ground default illustrated the responsibility of the architect. This Liability is extended to inherent defect within the structure of the building. The two parties must sign the  subrogation as they would jointly be held responsible for the entire duration of the policy. This safeguarded the clients’ interests and was not only adequately covered but was well informed to carry out the completion of the project.

Proper risk management is crucial in construction projects, especially in areas with complex legal systems and regulations. Our advisors offer valuable guidance and support on risk management and policy terms to minimize gaps that could affect claims. Our goal is to equip you with information and advice you need to enhance your international capabilities and serve your clients optimally. You can rely on us to help you navigate the intricacies of complex insurances and ensure that your clients are well-informed and adequately covered.