Under the JCT Standard Form of Building Contract, Clause 6.5.1 provides crucial protection for Employers against liabilities arising from specific risks associated with construction work. These include collapse, subsidence, heave, vibration, weakening or removal of support, and lowering of groundwater—risks that can lead to significant financial and legal consequences. This clause ensures that Employers are indemnified against claims from third parties due to damage caused by these factors, even if the Contractor is not deemed negligent.
Insurance under Clause 6.5.1 can be arranged either as a standalone policy or integrated into a broader project-specific insurance package. By securing this coverage, Employers can mitigate the financial risks associated with unforeseen structural impacts, ensuring compliance with contractual obligations while safeguarding their interests throughout the construction process.
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