Definition of an insured in an architects/engineer’s professional liability policy

Definition of an insured in an architects/engineer’s professional liability policy-

The definition is important because you want to verify that employees and others are covered under the policy.  Here are a few examples of the policy wording for definition of insurance.

Example one:

“Insured Person” means:

(1) any person who was, is now, or hereafter becomes principal, partner, officer, director, employee, or principal shareholder of an Insured Entity, but only if such person was performing Professional Services on behalf of an Insured Entity at the time of the alleged Wrongful Act;

(2) any retired partner, principal, officer, director, shareholder, employee, or member of an Insured Entity while acting within the scope of their duties as a consultant for the Insured Entity or any Predecessor Firm; or

(3) any past or present independent contractor or leased employee of an Insured Entity but only while acting within the scope of their duties for the Insured Entity.

Example two:

“Insured Person” means any person who was, now is, or shall become:

1. a duly elected or appointed director, officer, principal, partner, member or employee of the Named Insured, but only while acting on behalf of the Named Insured;
2. a duly elected manager, member of the board of managers or equivalent executive of the Named Insured if it is a limited liability company, but only while acting on behalf of the Named Insured;
3. temporary, or leased personnel of the Named Insured, but only while acting under the direct supervision and on behalf of the Named Insured;
4. any retired or former director, officer, principal, partner, member or employee (including former temporary or leased personnel) of the Named Insured, but only while acting on behalf of the Named Insured, and solely with respect to Wrongful Acts or acts giving rise to a Pollution Incident committed while serving in their capacity as a current director, officer, principal, partner, member, employee, temporary, or leased personnel of the Named Insured.

Always read your firm’s policy to have a full understanding of an insured person in the definitions section of the policy.  If you have any questions with regards to an insured person please call, or email, your Professional Underwriter agent for assistance.