Common exclusions in a Professional Liability Policy

Common exclusions in a professional liability policy for architects/engineers-

The professional liability policy covers errors and omissions for your design professional firm. However, as with any insurance policy, there are some exclusions.

Contractual liability is excluded from a professional liability policy. This may be included in a general liability policy but contractual liability is not covered under a professional liability policy.

Insured vs insured is not covered under the professional liability policy. Essentially this is saying that you cannot sue yourself. For example, if you design your own home and then file a claim on the design, this will not be covered.

Faulty workmanship is excluded under the professional liability policy. Here is the sample language from the policy for this particular exclusion.

arising out of the cost to repair or replace actual or alleged faulty workmanship the Insured, its subcontractors, or any other person for whom the Insured is legally liable, performs on any construction, erection, fabrication, installation, assembly, manufacture, or remediation, including any materials, parts, or equipment furnished in connection therewith. This Exclusion does not apply to drilling, excavation, or other sampling or testing procedures or the supplying of furnishings as part of interior design services, necessary to perform the Insured’s Professional Services.

Express warranties and guarantees are also excluded on the policy. This coverage is quite common for a general contractor to have warranties and guarantees included but does not apply in the professional liability policy for design professionals.

Products liability will not covered under the professional liability policy. This includes not just actual products but software as well.

As always, review your firm’s professional liability policy to understand all of the exclusions your specific policy includes. If you have any questions about exclusions in professional liability policies please call or email your Professional Underwriters agent for assistance.common exclusions


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