Under the insurance section of the JCT contract, there is a requirement for insurance to be arranged in “joint names”. Insurance for the works and existing structure must be arranged in the joint names of the homeowner* and the contractor.

The safest way to undertake a contract is with an appropriate JCT Contract and JCT compliant insurance.

Standard home insurance is not compatible with JCT Contracts. (under a JCT contract the homeowner is referred to as the Employer).

Employer (homeowner) controlled options are recommended for ensuring claims are paid under a JCT-compliant insurance policy. For example:

• Minor Works: Clause 5.5 (previously 5.4B in JCT 2016).

• Intermediate/Standard: Clause 6.7, Option B (new build) or Option C (when an existing home is involved).

JCT 6.5.1 deals with Non-Negligent Liability for third-party property damage, also known as Party Wall Act Insurance. It replaces Clause 21.2.1 from older JCT contracts.