Which business insurance is best for architects and engineers?
Is general liability insurance what you need? Or is a professional liability policy the way to go? Let’s explore…
Practically any business benefits from having a general liability insurance policy. But some professions run a higher likelihood of really needing to use their insurance, chief among them architects and engineers. General liability insurance protects your business from third party claims for bodily injury, associated medical costs, and damage to others’ property. It also covers if your clients allege that you caused them bodily injury or property damage. You’ll be very happy you have GL insurance if, for instance, your employee badmouths a client to a contractor on a job site, the client learns of this, and sues for slander.
Is general liability insurance what you need? Or is a professional liability policy the way to go? Let’s explore… Then there’s professional liability insurance, which covers you in instances involving negligence, even if you haven’t made a mistake. Professional liability insurance coverage is invaluable if, for example, a designer misinterprets your renderings, orders a boatload of un-usable materials, and your client tries to stick you with the cost before suing you for negligence. As an architect or engineer you likely believe that your risk for these kinds of lawsuits is low, and you’re correct. But in your line of work many clients require you to carry a general liability insurance policy, which is reason enough to research rates and get a policy. And you probably visit clients’ offices and construction sites, both of which open the door to accidents. The Architectural Record sums it up nicely:
Professional liability insurance is coverage that protects an architectural firm and its employees against claims alleging negligent acts, errors, or omissions in the performance of architectural services. This is different from commercial general liability, or CGL, insurance, which covers the types of accidents or property damage that could happen at any business. CGL policies are relatively standard regardless of the type of business and usually exclude professional liability claims. In contrast, professional liability policies are as specialized and diverse as the variety of professional practices that exist.
Protect your specialized area of practice with policies designed expressly to meet your business insurance needs.
Related Articles
A cyber security expert answers your ransomware questions
What is ransomware? Who is vulnerable? And most importantly, how can you protect your small business from the havoc it can wreak?
We sat down with Meghan Hannes, Head of Cyber and Tech Errors and Omissions for Hiscox USA. Meghan has been underwriting and managing cyber security and privacy-related risk since 2004. She is a noted author, speaker, and award-winning product head in the cyber insurance space.
Remote working increases cyber risk for small businesses
The pandemic has changed the way we do business in many ways. One of the most remarkable changes – and one that may become permanent for many businesses – is remote working. While this has been an advantage, the increase in cyber attacks since more people have been working from home is not a coincidence
Read More
The most common accounting mistakes made by small businesses and how to avoid them
Whether you’re a new or experienced small business owner, financial responsibilities—including accounting—can take a while to get the hang of. There are so many moving parts to keep track of, not to mention a lot of math to do, which makes mistakes almost inevitable. That’s why many companies bring on an accountant as soon as they can. But if that isn’t an option for you just yet, don’t worry. We’ll cover some of the most common accounting mistakes made by small businesses and how to avoid them, so you can protect your business.
Read MoreWe provide tailored insurance for the specific risks you face, so you can take the right risks to grow your business.