Condo Project Risks for Architects and Engineers
Condos in Colorado are being built more often than in the recent years however; they are still area of high risk. Some of the laws have changed in specific cities throughout Colorado but the Professional Liability insurance companies have not seen the affects, good or bad, of those changes in laws. Once the claims start coming in for the condo projects in those specific cities then they will have a better idea of the affect. But there are ways you can manage your risk when it comes to a condo project.
Client and project selection are very important when it comes to condo projects. Choose clients based on their experience, financial strength and emphasis on quality of construction and design. For project selection, be sure it is a project that your firm can manage. Make sure your firm has the proper experience and adequate staff. Additionally verify that the project has a realistic budget and time frame. Your firm doesn’t want to get into a project that there is not a comfort level with the client and the project.
Having a good contract in place will be beneficial when it comes to condo projects. Contracts will allow your firm to clearly lay out the scope of services that is appropriate for the project. The contract can also include a limit of liability which will be favorable for your design firm. The contract will also clearly state the timeline of the project, which can be a source of claims.
Equally as important, as with any project, is that your firm document everything associated with the project. Without documentation your firm has no defense when it comes to claim time. Document everything including follow up emails to phone conversations so that everyone is clear on the project.
Most important with a condo project is be prepared and do your due diligence. Your Professional Underwriter agent is there to help, please call or email with your questions.