Gov’t Makes Construction Insurance Mandatory Under Regulation Amendment

The government has amended the Construction Constructor Regulation, making it compulsory for all construction projects to obtain insurance coverage. 

The amendment, which came into effect on 1 June, requires insurance to cover any potential damage or harm caused during construction, whether to the environment, nearby buildings, workers, pedestrians, or the wider community. Published in the Government Gazette as the fifth amendment to the regulation, the update also mandates that project developers submit proof of this insurance as part of their documentation.

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The government stated that the new measures mark a key step towards strengthening accountability in the construction sector and establishing a reliable compensation mechanism for those affected by construction-related incidents.