If the existing structure is the canvas on which your project is based, then the works are the paint which makes that come alive. They are your opportunity to stamp your individual style on the property and create the living space of your dreams.
In the context of this insurance, the works broadly mean the labour and materials that you are bringing to the existing structure and using to change the appearance or size of the property.
What the term also includes are debris removal costs, professional fees and VAT. All of these factors should be included within your works calculation.
If the existing structure is the canvas on which your project is based, then the works are the paint which makes that come alive.
When you have a JCT contract, a schedule of works is normally appended which gives a very clear description of what you expect to happen. This makes it easy to differentiate between what is a claim under the works section of the policy and what is a claim under the existing structure.
If you are operating under the builder’s terms and conditions or – worse still – common law with your contractor without a schedule of works, it is often more difficult to differentiate between the two. At this stage it is vital to make sure that both the property and the works are insured under the same policy and for the same potential losses.