It is an annual “all risks” policy - except for the exclusions - intended to be an alternative for contractors’/erection all risks policies in respect of contractors’ machinery, equipment and plant involved in the performance of construction works.

Generally, engine-driven manned mobile devices are insured, held by an operator, such as bulldozers, excavators, scrappers, graders, motorized cranes, mechanical loaders, etc. As an exception, fixed equipment may also be insured (such as transport systems, aggregate processing plants, asphalt mixers, transformers and electric generators, etc.), together with temporary constructions (camps/caravans for household and offices, workshops or storage, etc.), all of which are used on site and which are either contractor’s property, or rented.

Unlike contractors'/erection all risks policies where the period of cover is the period of works and operates only withinn the site premises, the CPM policy is annual, renewable and it covers all locations where the insured items perform their activity during the insured period and within the stipulated geographical area, it may be extended by special endorsement to also cover the inland transit between the sites thereof. Furthermore, it provides also offers coverage for external consequences of machinery breakdown.

The policy is suitable for contractors who use/rent and want to protect their plant and equipment . The advantages are a wider coverage for material damages, as well as cheaper insurance premium and administrative costs (it is not necessary to notify the insurer and cover each piece of machinery on each site), as well as a long term relationship with the client.