All major projects and investments present great opportunities, but also harbor risks. The management of risk in construction projects involves both the allocation of risk under the project contracts and the management of those risks through insurance.The ability to recognize and overcome risks is crucial to the success or failure of a project.
Many a times, it becomes a highly complex exercise in view of the large number of exposures and intricate networks and dependencies involved in such projects. Losses are often not attributed to one single cause.
As a rule, there are always several combined factors that lead to a loss event. In many cases, planning errors and omissions or lack of due care and diligence during construction work / erection work is responsible for losses in difficult geological conditions.

The potential risks can be categorically divided into three groups:

• Physical Assets Protection

• Design Engineering Risks

• Management Liability

• Financial Market and Economic reforms