Insure excavators, dozers and cranes with Tata AIG through Desi Machines. CPM, CAR, EAR cover, premium factors, drone-survey claims and Indian norms explained.
Tata AIG General Insurance commenced operations on 22 January 2001, which makes 2026 its 25th year in India. It is a joint venture, with Tata Sons holding around 74% and AIG of the United States holding about 26%. The company is based in Mumbai and carries IRDAI registration number 108.
It runs roughly 262 offices and a network of more than 13,000 garages, and it stands among the top private players in commercial lines — around second or third by commercial premium. For an equipment owner that combination is reassuring: the Tata name brings trust and a well-capitalised balance sheet, while AIG adds decades of international experience in underwriting industrial and engineering risk. When a high-value machine is on the schedule, that depth counts.
It is a natural fit for plant and earthmoving fleets for a few reasons. Its engineering suite is aimed squarely at construction companies, contractors and machinery owners rather than bolted on as a sideline. The flagship CPM product is written to take in cranes, dozers, excavators, crushers, mixing plants and generators, and it can be bought by the machine’s owner, by a contractor, by a rental company, or by a financier holding security over the asset — useful flexibility when ownership and possession do not sit in the same hands. And the claims side is genuinely forward-looking: Tata AIG has used drone-based surveys for flood-hit areas with same-day on-account payments, and runs a remote digital risk-inspection platform called Netra for commercial and engineering risks. For a contractor with machines scattered across hard-to-reach sites, faster inspection means faster money back into the project.
The flagship is the Contractors’ Plant & Machinery (CPM) policy, and it is the backbone of the engineering suite. It answers sudden, unforeseen physical loss or damage to your listed machines — at work, idle, or being moved for maintenance — from fire and allied perils, theft and burglary (theft is specifically taken in), accidental external damage, overturning, and natural events such as flood, storm and landslide. It is written to cover cranes, dozers, excavators, crushers, mixing plants and generators, each listed with its own sum insured, usually on a replacement-value basis. Worth noting up front: CPM excludes road use, which sits with motor cover, and transit, which belongs with marine — so plan those separately.
For project work, Tata AIG offers Contractors’ All Risk for civil construction and Erection All Risk for installation and commissioning jobs. Machinery Breakdown — covering the internal electrical and mechanical failure CPM leaves out — is available as an option within its SME packages, a sensible gap-filler on costly plant. Common extensions include third-party liability, owner’s surrounding property, debris removal, escalation, and an anywhere-in-India basis so cover follows a machine between sites.
Every equipment policy has edges, and knowing them spares trouble at claim time. CPM does not pay the excess you carry on each loss. It excludes ordinary wear and tear, rust, corrosion and gradual deterioration, plus consumables and wear parts such as tyres, ropes, belts, bits, drills, fuel and lubricants. Internal breakdown is out unless Machinery Breakdown is added. It does not cover road use — that is motor territory — or transit between locations, which is marine. Losses from overloading or running a machine beyond its rated capacity are excluded, as are wilful negligence, war and nuclear perils, testing and pre-existing defects, and consequential loss.
There is no fixed price, because the risk on every machine differs. As a rough guide, annual CPM premiums in India tend to fall between 0.5% and 1.5% of the insured value. Purely for illustration, a machine insured for ₹50 lakh might sit somewhere around ₹25,000 to ₹75,000 a year before GST. The actual rate depends on the machine type and risk group, its age and condition, the insured value, and where and how it works — hilly, flood-prone, mining and tunnelling sites carry a higher rate. Your claims history, the excess chosen, the add-ons picked, and whether the cover is single-site or anywhere-in-India all move it. A higher voluntary excess lowers the premium. The only real figure comes from a quote, and that is where Desi Machines steps in.
If a machine is damaged or stolen, tell Tata AIG quickly — within a day or two is the safe rule — and lodge an FIR straight away for theft, burglary or any third-party incident. You can initiate and track a claim through the Tata AIG app, or reach the helpline on 022 6489 8282. The insurer appoints an IRDAI-licensed surveyor to assess cause and quantum; for catastrophe-hit areas it has run drone-based surveys with same-day on-account payments, and its Netra platform allows remote digital risk inspection for commercial and engineering risks. Keep the paperwork ready: policy copy, filled claim form, registration papers where they apply, FIR for theft, repair estimates and bills, and dated photographs. Where liability is clear, an on-account payment can be released before final settlement so work need not stall.
A few rules hold whichever insurer you choose. Only IRDAI-registered companies may issue these policies, and Tata AIG is one, with a UIN on every policy. The premium carries 18% GST — the September 2025 GST reform removed the tax only on individual life and individual health cover, so commercial engineering insurance like CPM stays at 18%, though a GST-registered business can usually reclaim it as input tax credit. If a machine such as a mobile crane, dumper or certain backhoe loaders runs on public roads, it must be registered and carry mandatory third-party motor insurance alongside CPM — which fits with CPM’s own exclusion of road use; a unit confined to an enclosed site generally need not. And because construction is hazardous work, an Employees’ Compensation (Workmen’s Compensation) policy is the standard cover for operators and crew.
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Desi Machines is a facilitator that helps equipment owners connect with IRDAI-registered insurers. We are not an insurer and do not issue policies — cover, eligibility, premium and claim decisions rest with the insurer under its policy terms. Premium figures shown are indicative, not quotes, and 18% GST applies. Please confirm current terms with the insurer before you buy.
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