My Account
We compare quotes from leading insurers
PROPERTY & BUILDINGS INSURANCE DESIGNED FOR FABRICATION FACILITIES
Why Property & Facility Insurance Is Different for Semiconductor Manufacturers
A semiconductor manufacturing site isn’t “just a building”. It’s a complex production ecosystem made up of cleanrooms, controlled environments, specialist utilities, high-value plant rooms, hazardous materials infrastructure, vibration-controlled slabs, raised floors, electrostatic discharge protections, specialist ventilation systems, and precision fit-out that often costs more than the shell itself.
Standard property insurance is typically built for general commercial buildings. Semiconductor facilities introduce unique exposures that can amplify loss severity: a minor leak, temperature excursion, or power quality issue can have cascading impacts across multiple production zones and can turn a “simple” building incident into a major operational loss event.
Insure24 arranges tailored property and facility / buildings insurance for semiconductor manufacturers, fabs, foundries, packaging and test facilities, cleanroom operators, and advanced electronics plants — helping protect the real value of your site, your fit-out, and your ability to recover after an incident.
BUILDINGS INSURANCE THAT PROTECTS YOUR FACILITY AND YOUR OUTPUT
Cover That Reflects High-Value Fit-Out, Cleanrooms & Specialist Utilities
Semiconductor buildings often include bespoke mechanical and electrical infrastructure: high-capacity chilled water, process cooling, CDA (compressed dry air), nitrogen systems, abatement plant, gas cabinets, chemical delivery systems, extraction/ventilation, scrubbers, and critical power distribution. These elements can be fundamental to the building’s function and value — and need to be properly insured and declared.
What Property & Facility Insurance Can Cover
A well-structured semiconductor property programme protects more than the shell. It should address your building, fit-out, critical building services, and the real-world costs of reinstatement after loss.
Typical Insured Property Assets
- Buildings (fabrication facilities, labs, warehousing, offices, utilities blocks)
- Cleanroom structures, panels, ceilings, lights, raised floors and return air plenums
- Specialist electrical infrastructure (switchgear, transformers, UPS rooms, distribution)
- HVAC, filtration, AHUs, dehumidification and temperature control systems
- Process cooling systems (chillers, cooling towers, pipework, valves, sensors)
- Fire detection, alarms, suppression and facility safety systems
- Plant rooms, abatement systems, scrubbers and extraction infrastructure
- Perimeter security, access control, and building management systems (BMS)
Common Insured Perils
- Fire, smoke and explosion
- Escape of water (including burst pipes and sprinkler discharge)
- Storm and flood (site-specific underwriting)
- Impact damage and accidental damage (where selected)
- Theft and malicious damage (where applicable)
- Subsidence (where applicable)
- Engineering breakdown extensions for building services
- Debris removal and site clearance
Why Standard Buildings Insurance Often Falls Short
Semiconductor manufacturing can turn a normal property claim into a complex restoration project. The biggest gap is usually not “is fire covered?” — it’s whether the policy is structured to pay for what it actually costs to get you back to operational, validated production.
Hidden Value: Fit-Out & Cleanroom Reinstatement
Cleanrooms aren’t a “nice to have” internal partition. They are engineered systems. Reinstatement often requires specialist contractors, controlled commissioning, air balancing, certification, and revalidation. If buildings sums insured are based only on the shell value, you can be significantly underinsured.
- Specialist cleanroom panels and ceilings
- Raised floors and underfloor plenum systems
- HEPA/ULPA filtration and air handling
- ESD-safe finishes and flooring
- Vibration isolation and slab requirements
Critical Dependencies: Utilities & Building Services
Many major losses begin as building services failures: chilled water interruptions, humidity excursions, compressed dry air issues, or power quality problems. Standard property policies may not respond unless there is “visible damage” and may exclude mechanical breakdown unless engineering cover is included.
- UPS systems and standby generation considerations
- Chillers, cooling towers and pipework failure scenarios
- Humidity and temperature control excursions
- Sprinkler leakage and accidental discharge
- BMS faults causing cascading operational impacts
Property Claims Often Trigger Business Interruption
Buildings insurance pays to repair damage. But for semiconductor manufacturers, the bigger cost is often lost production, delayed deliveries, and the expense of recovering capacity. Property and business interruption should be planned together — including realistic indemnity periods and extra expense allowances.
Typical Downtime Drivers After Property Loss
- Specialist contractor availability and long lead times
- Recommissioning and air balancing of HVAC systems
- Cleanroom certification and revalidation requirements
- Requalification of processes and customer sign-off
- Replacement of bespoke building services components
- Safety investigations and regulatory notifications
Extra Expense & Recovery Actions
- Overtime and additional shifts
- Expedited freight and parts procurement
- Temporary portable chillers / dehumidification units
- Outsourcing processing steps or overflow capacity
- Temporary relocation of non-production functions
- Specialist validation and audit support
Common Property Risks in Semiconductor Facilities
Semiconductor sites combine high-energy infrastructure and tightly controlled environments. Property risk management is about preventing incidents and limiting the severity if something goes wrong.
Fire & Thermal Events
Fire is an obvious peril, but semiconductor loss scenarios can be complex: fire suppression discharge, smoke contamination, or overheating in plant rooms can damage cleanrooms and create long restoration timelines.
- Electrical fires in distribution boards or UPS rooms
- Overheating in plant rooms or tool support infrastructure
- Localised fires causing smoke contamination of clean areas
- Suppression discharge creating water damage and downtime
- Hot work risk during maintenance or upgrades
Water Damage & Escape of Water
Water is one of the most frequent causes of severe disruption in controlled environments. Even small leaks can require significant cleanroom remediation and can damage sensitive fit-out.
- Burst pipes and joints in chilled water systems
- Cooling tower and chiller failures leading to leaks
- Sprinkler head leakage or accidental discharge
- Roof leaks during storms or maintenance works
- Condensation issues in humidity-controlled zones
Storm, Flood & Natural Hazards
Flood and storm underwriting is highly site-specific. Semiconductor facilities often require resilient design: raised critical plant, protected intakes, and robust drainage. Where flood exposure exists, insurers may require enhanced mitigation measures.
- Surface water flooding affecting access and utilities
- River or coastal flood exposure (where applicable)
- High winds damaging roofs and building envelope
- Storm-driven water ingress affecting clean areas
- Critical infrastructure located at ground level
Impact, Security & Malicious Damage
Semiconductor sites can be targets for theft of high-value tools, spare parts, metals, and sensitive IP. Physical security and access control is a key underwriting focus.
- Theft and attempted theft causing building damage
- Malicious damage or sabotage risks
- Vehicle impact to building envelope or plant rooms
- Perimeter and access control improvements
- Protection of critical spares and storage areas
Getting Sums Insured Right for Semiconductor Buildings
Underinsurance is one of the biggest risks in complex facilities. Buildings sums insured should reflect full reinstatement (not market value) and must include the specialist parts of the site that are expensive to rebuild and revalidate.
Items Often Missed in Buildings Declarations
- Cleanroom fit-out and certification/commissioning cost
- Specialist HVAC and filtration (HEPA/ULPA) systems
- Raised floors, structural modifications and vibration controls
- Process utilities embedded into the building (pipework, supports, ducts)
- Abatement plant and extraction infrastructure
- Specialist fire detection/suppression design and reinstatement costs
- Professional fees (architects, engineers, surveyors)
- Inflation and long lead time cost escalation
Helpful Information for Quotation
- Reinstatement valuation or recent property appraisal
- Cleanroom class, size, and construction details
- Utility schematics: chillers, UPS, CDA, N2, process cooling
- Fire protection: detection, suppression type, zoning strategy
- Maintenance regime and inspection records
- Business continuity plan and critical spares strategy
- Previous claims and loss history (property and engineering)
- Site location details and flood mitigation measures
The Real-World Impact of Property Loss in Semiconductor Manufacturing
Case Study: Water Leak into Controlled Area
Situation: A chilled water line joint failed above a corridor feeding a controlled zone, causing water ingress and humidity disruption.
Impact: Cleanroom remediation, inspection of affected building services, and extended downtime for recommissioning.
Resolution: A properly structured property programme supported reinstatement costs and helped coordinate specialist remediation to restore certified conditions.
Case Study: Electrical Event in Plant Room
Situation: A fault in electrical distribution equipment caused localised fire damage and smoke contamination risk.
Impact: Replacement of electrical components, cleaning and verification of impacted areas, and operational disruption.
Resolution: Cover responded to property damage while BI/extra expense planning helped protect delivery commitments during recovery.
Case Study: Storm Damage & Roof Ingress
Situation: Severe weather damaged roof elements, allowing water ingress during sustained rainfall.
Impact: Emergency works, drying and restoration, and additional controls to protect sensitive zones.
Resolution: Policy structure supported repair and associated costs, reducing the financial impact and speeding up recovery.
Case Study: Fire Suppression Discharge
Situation: A suppression activation led to water discharge into an area adjacent to production support zones.
Impact: Drying, replacement of affected internal finishes, and recommissioning of building systems.
Resolution: Cover supported reinstatement and helped fund specialist contractor response to restore operational readiness.
Property & Facility Insurance Options
We structure cover around the real build and reinstatement costs of your facility, along with the resilience requirements of your operations.
Starter Property Programme
Ideal for: small facilities, labs, pilot lines, early-stage manufacturers
- Buildings and basic fit-out protection
- Contents and stock (where applicable)
- Standard insured perils
- Optional engineering add-ons for building services
Standard Facility Programme
Ideal for: operational fabs, packaging/test facilities, cleanroom operations
- Enhanced fit-out and cleanroom reinstatement focus
- Property + engineering aligned for building services
- Improved BI/extra expense alignment
- Contractor and professional fees included
- Claims support for specialist remediation work
Premium Resilience Programme
Ideal for: high-value sites with customer audit requirements and strict uptime needs
- Higher limits and tailored sub-limits for critical fit-out
- Contingent BI planning where applicable
- Enhanced accidental damage options
- Risk engineering approach to utilities and fire strategy
Enterprise / Multi-Site Programme
Ideal for: multi-location operations, global supply chains, high-value fab capacity
- Programme structure across sites and geographies
- Higher BI limits and longer indemnity periods
- Advanced engineering and utilities breakdown integration
- Specialist claims coordination and recovery planning
Insure24 helped us properly value our cleanroom fit-out and critical building services. The programme was structured around real reinstatement costs, not generic assumptions.
Facilities Manager, UK Semiconductor ManufacturerWhy Choose Insure24
- We understand cleanrooms, critical utilities and high-value fit-out
- Cover structured to avoid underinsurance traps
- Support aligning property, engineering and BI so they work together
- Fast quote process with specialist guidance
- Claims support that appreciates operational impact and restoration complexity
How to Get Property & Facility / Buildings Insurance
- 1. Tell us about your site, location, and facility construction
- 2. Provide buildings reinstatement values and key fit-out details
- 3. Share utilities and fire protection information (where available)
- 4. We structure a programme and obtain quotations from suitable insurers
- 5. Choose cover and activate quickly — with clear documentation and support
FREQUENTLY ASKED QUESTIONS
+-
Does buildings insurance include cleanroom fit-out?
It can — but only if it’s properly declared and valued. Cleanroom fit-out can represent a significant portion of reinstatement cost and may require specialist reinstatement, commissioning, and certification. We help ensure these elements are captured correctly.
+-
What is the difference between property insurance and engineering cover?
Property insurance typically covers physical damage from insured perils like fire, flood, or escape of water. Engineering (breakdown) cover can respond to sudden and accidental mechanical or electrical failure in plant and building services (e.g., chillers, switchgear, UPS), depending on the policy wording and selections.
+-
How do you calculate the right buildings sum insured?
The buildings sum insured should reflect full reinstatement cost (not market value) and include shell, fit-out, cleanrooms, critical building services, professional fees, debris removal, and inflation. A reinstatement valuation is the best starting point, and we can guide you on typical areas that are often missed.
+-
Does buildings insurance cover flood and storm?
Often yes, but terms depend on location, flood history, site defences, and insurer appetite. Where exposure exists, insurers may apply higher excesses, conditions, or require mitigation measures. We’ll present your risk clearly to achieve the best available terms.
+-
Can I include business interruption with my property policy?
Yes — and for semiconductor manufacturers it’s usually essential. Property damage can cause long downtime due to reinstatement, recommissioning and revalidation. Business interruption and extra expense cover can protect your income and recovery costs during that period, subject to policy terms and indemnity period selection.
+-
How quickly can Insure24 arrange cover?
We can often provide an initial indication quickly, with tailored terms typically arranged once we’ve reviewed your site details, reinstatement values, fire protection and utilities information, and any contractual requirements.