Is it possible to "freeze" contractor work insurance?

Answer:

A contractors' insurance policy does not include an option or concept of "freezing insurance." If work at the site has not yet begun, it is possible to cancel the insurance and reopen it when work resumes.

As long as the project work is in progress, this is a situation where there are naturally various third-party risks toward passersby, visitors to the site, or the site environment in general. In urban renewal projects under TAMA 38/1 (strengthening and expansion) that take place while residents continue living in the building, matters are doubly complex. The risks are heightened regarding bodily injury to residents or visitors, and additionally the risks continue regarding damage to the existing structure and to the work itself.

Therefore, and accordingly, not only is it impossible to freeze the insurance, but its continuation is of great importance.

Moreover, pay attention! In most contractors' insurance policies common in Israel, the insurance coverage is not valid in case of work stoppage at the site for more than 90 days!

In other words, not only is there no possibility to freeze the insurance, but it is advisable that the insured arrange through a specific appeal to the insurance company for continued coverage, subject to protections that will be determined even if work is stopped for three months or more.

As a rule, our recommendation is not to reach a complete stoppage of work in an active project. It is always preferable to continue work, even at low intensity, and to ensure there is always a team presence at the site. Even if it's a small team, as this way it will be possible to supervise the site and what happens there. Such a situation will also provide compliance with the policy conditions regarding insurance continuity.