Do architects and engineers need business insurance?
Architects or engineers who design buildings for commercial and/or residential use should have professional and general liability insurance to protect themselves from claims and lawsuits brought by clients, vendors or even employees. Liability insurance is a great way to protect yourself while continuing to provide top-notch services to clients, which is especially true for architects and engineers who work privately or own their own business.
Example architects and engineer professions we insure
- Building Inspector
- Civil Engineer
- Project Manager
- Control System Integrator
- Electrical Engineer
- Environmental Engineer
- Industrial Engineer
- Interior Designer
- Landscape Architect
- Transportation Engineer
Professional liability insurance—also sometimes referred to as Errors and Omissions or E&O insurance—provides a multitude of potential benefits for architects and engineers, such as coverage for personal injury, defense costs, negligence and claims against past-rendered services. This type of insurance is very important for anyone who regularly provides professional services or advises clients.
A designer misinterprets your renderings and orders costly materials that are not going to work with your plans. Your mutual client is upset and sues both of you for professional negligence and demands that you reimburse him for the useless materials. You do not believe this is your fault but you have been named in the lawsuit and have a responsibility to appear in court. Professional liability insurance could protect you against claims of negligence and will appoint an attorney to defend you, if needed, even if you haven’t made a mistake.
When a client reacts negatively to your services or otherwise feels as if they have been damaged in some way by the services you provide as an architect or engineer, getting sued is always a possibility. Potential issues can come in many different forms but you can protect yourself by getting professional liability insurance—a crucial tool for providing peace of mind.
In addition to times when architects and engineers can benefit from having professional liability insurance, there are certain scenarios that are not usually covered under this type of policy. General Liability—also called commercial general liability (CGL)—covers business owners against property damage, claims of bodily injury and any associated medical costs.
A building inspector was hired to inspect a renovation project in an office building. Part of the building was occupied. While the inspector was passing through the occupied section of the building, he inadvertently knocked an expensive vase off a table in a lobby area. General liability insurance could protect building inspectors against third-party claims of bodily injury, associated medical costs and property damage.
Here are five reasons why architects and engineers choose Karstens Financial above other providers for professional and general liability insurance:
- Flexible payment options: We offer you the option of making monthly payments (with no additional fees) to help you manage your cash flow.
- Tailored insurance: We specialize in businesses like yours and tailor coverage to the risks in your field.
- Claims responsiveness: When a covered claim is reported, we will immediately defend you—even if the claim has no basis—and, if necessary, appoint an attorney.
- Coverage for contracts: Our architects insurance coverage satisfies most standard contract insurance requirements.
- Worldwide coverage: We protect you for work done by your business anywhere in the world as long as the covered claim is filed in the United States, a U.S. territory or Canada.
- Passion for service: Agents knowledgeable about your business concerns will provide you with excellent service .