Engineering Insurance


What is Engineering Insurance?

Engineering Insurance is a type of insurance policy that offers a wide range of coverage for engineering-related risks. It is comprehensive insurance that provides total protection against risks related to erecting, resting and working of any plant and machinery. In some countries, businesses are required to have an insurance certification on specific items of plant such as heavy machinery.

Types of Engineering Covers

  • Machine breakdown
  • Machinery Replacement – erection and transit
  • Computer equipment cover for loss or damage. 
  • Erection All Risks cover
  •    Stock deterioration
  •    Accidental damage cover for plants and types of equipment
  • Plant all risk

When is engineering insurance important

Engineering insurance is important to provide full cover for all kinds of explosion risk as well as electrical breakdown. The cover for the explosion covers limited risks and could exclude any other form of damage. 

Insurance cover for electrical breakdown is important where computers and electronics are involved. The policy can cover sudden and unforeseen loss or damage to the installation of computer and electronic systems as well as the reinstatement of any lost data as a result of the breakdown. 

Who needs an engineering insurance policy

Basically, any organization that deals with the heavy plant, machinery as well as equipment would need an engineering insurance policy and they include

  1. Construction and installation companies
  2. Real estate companies
  3. Production and processing enterprises
  4. Gas and power companies
  5. Water production companies
  6. Security enterprises. 

Process for acquiring engineering insurance

Typically acquiring an engineering policy will involve the following process stated below

  1. Make a consultation
  2. Get a quote
  3. Customer accepts the quote and agrees to terms and conditions
  4. Issue insurance policy and send a notice of payment to the customer.
  5. Customer makes payment
  6. The certificate of insurance is sent to the customer


 The majority of engineering policies can be issued either on a single, annual, specified or blanket insurance plan. The choice of plan is dependent on the mode and frequency of operation by the company. 

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CIC Insurance

CIC insurance group is a giant financial institution based in Kenya Nairobi. Established far back in 1968, the CIC group has branches across different countries