Definition of a Claim in an Architects/Engineers Professional Liability Policy
The definition of a claim is important because your firm will want to know when/if you should be reporting a claim. Every insurance policy will be slightly different so be sure to read your Professional Liability policy. Here some examples of the definition of claim.
- a demand for money or services;
- a civil proceeding commenced by service of a complaint or similar pleading; or
- a written request to toll or waive a statute of limitations relating to a potential civil or administrative proceeding, against any Insured for a Wrongful Act. A Claim will be deemed to be made on the earliest date such notice thereof is received by any Principal Insured.
- a written demand for monetary, non-monetary or injunctive relief against any Insured;
- a civil proceeding against any Insured commenced by the service of a complaint or similar pleading;
- a formal administrative or regulatory proceeding or investigation against any Insured commenced by the filing of a notice of charges, formal investigative order or similar document
- written request received by an Insured to toll or waive a statute of limitations; or
- a demand for arbitration or Mediation received by any Insured combined with an allegation of a Wrongful Act or a Pollution Incident by the Insured.
Claim means a demand for money or services received by the Insured arising out of a wrongful act or pollution incident in the performance of professional services. A claim also includes the service of suit or the institution of an arbitration proceeding against the Insured.
Generally speaking if you have a demand you have a claim. However, read your policy so your firm knows exactly what that means. When in doubt turn it into the insurance company. As always, please read your policy. It is a very important purchase for if/when your firm does have a claim. If you do have questions please call or email your Professional Underwriters agent.