Not only do these include fire and explosions during construction, as well as collisions and sinking during trials, but also acts of God on the ground, such as earthquakes. Shipyards are often legally obligated to safeguard their own and their purchasers' interests against such dangers.
A well-drafted insurance policy covers a wide range of shipyards, both those who focus on smaller boats and yachts, and those who construct high-valued cargo vessels and offshore energy platforms.