Three families of contract
- NEC
- The NEC suite is published by NEC. Its website lists NEC4 contracts, including the Engineering and Construction Contract, with the suite described as the June 2017 edition revised in January 2023. Earlier NEC3 documents also exist, so identify which edition applies.
- FIDIC
- FIDIC, the International Federation of Consulting Engineers, publishes standard forms. Its website lists, for example, the 2017 Construction Contract (Red Book) and Plant and Design-Build Contract (Yellow Book), and a 2019 form for underground works. Older editions are also in use.
- GCC
- The General Conditions of Contract for Construction Works are published by the South African Institution of Civil Engineering (SAICE). SAICE’s publications page refers to a third edition, 2015, and a related guide. Earlier editions may still appear in some contracts.
Each form is also often modified by particular conditions, schedules or contract data. What binds you is the contract you signed, not the standard form in the abstract.
Questions that apply whichever form is used
| Question | Why it matters |
|---|---|
| Which edition and which amendments apply? | Wording and responsibilities change between editions and with particular conditions. |
| Who must insure the works? | It may be the contractor, the employer or both, and in joint names or not. |
| Which covers are required, with what limits? | These set the minimum policy terms and may be stated in contract data or schedules. |
| What is the insurance period? | It may need to run until completion, through the defects period or beyond. |
| Who bears risks that are not insured? | The contract allocates certain risks to one party even where insurance does not respond. |
| Are professional indemnity or design-related covers required? | Particularly relevant where the contractor takes design responsibility. |
| What evidence must be provided, and when? | Many contracts require proof before work starts. |
| What happens if insurance is not provided? | The contract may allow the other party to arrange it and recover the cost. |
| How are claims and notices handled? | Contracts may require notification within set periods. |
| How do subcontractors fit in? | Subcontract conditions often mirror, or adapt, the main contract’s requirements. |
Why the forms should not be treated as identical
- Different forms use different terms for risk, liability and the insurances the parties must arrange.
- The same form can be used with very different particular conditions or contract data.
- Public employers may amend standard forms for their own requirements.
- A policy that satisfies one contract may not satisfy another.
- Our summaries cannot replace the document you signed.
Design responsibility changes the picture
Where the contractor designs, whether wholly or in part, the insurance programme needs to consider professional liability and the coordination of covers. See design and construct insurance and professional indemnity for contractors.
What to do with your contract
Identify the form and edition
Check the title page, the contract data and any amendments.
Extract the insurance provisions
Include conditions, contract data, schedules and particular conditions.
List required covers, limits and evidence
Note who arranges each and by when.
Compare with your existing programme
Look for gaps or mismatches.
Send it to us
We will help you understand what is being asked for and what needs to be arranged.
See also JBCC insurance requirements and insurance after winning a tender.
Common questions
Which of these forms is most common in South African civil work?
That varies by employer and project. Public employers commonly specify the form in their tender documents, so look at what you have been given instead of assuming.
Can the same policy satisfy NEC, FIDIC and GCC contracts?
Not automatically. Limits, insured parties, periods and wording can differ, and particular conditions often change the standard forms. Check each contract.
What if the contract requires insurance that does not exist in the market?
Raise it with the employer’s representative early. Some requirements are hard to meet as written, and clarifying them before signing is far easier than after.
Do these forms deal with latent defects?
Provisions differ, and many leave some questions to the law that applies. See latent defects explained, and take legal advice for your contract.
Have a civil contract to review?
Send us the insurance provisions and contract data. We will help you work out what the contract requires.
Send Your Contract RequirementsAn enquiry does not put cover in place. Cover is subject to underwriting and policy terms.
Sources and further reading
- NEC: NEC contracts (opens in a new tab) — publisher of the NEC4 suite (checked 12 October 2026)
- FIDIC: International Federation of Consulting Engineers (opens in a new tab) — publisher of the FIDIC standard forms (checked 12 October 2026)
- SAICE: General Conditions of Contract for Construction Works (opens in a new tab) — publisher’s page for the GCC
Related reading
- JBCC insurance requirements: where to lookHow JBCC building agreements deal with insurance, and why your edition and contract data decide the requirements. Not a substitute for your own document.
- Insurance after winning a tender: what to prepareWhat to do about insurance after a contract award: reading the contract’s insurance clauses, listing required covers and evidence, timing, and what to send your broker.
- Design and constructInsurance questions that arise when a contractor takes on design as well as construction responsibility.
- Civil contractorsContract works, liability, plant and guarantees for roads, stormwater, sewers, bridges and bulk earthworks.