Keys to completing a Professional Liability application for architects/engineers

There are many details when it comes to completing the professional liability application and it can be helpful to know what the insurance companies are requiring.

One of the important details to remember when completing the application is all of the information provided, except past billings, will be based on the last fiscal year. For firms renewing the policy, the application questions will be answered on the last fiscal year and therefore will change from year to year on many of the questions on the application. This will not apply to new firms when completing the application. New firms will complete the application based on projections of billings and projects.

The billings and project types are important pieces of information the application. These are not the only determining factors of premium but they are large driving force of the premium. Accuracy in these areas is crucial for the insurance companies to provide the correct premium for renewals.

The risk management questions included must also be answered to provide possible credits on the premium for you firm. Insurance companies like to see a strong risk management program in your firm and will provide a break in the premium for these efforts.

Details in the application are always helpful for the insurance companies.   For example, if you firm has had a claim, any details on the claim and the lessons learned are helpful to determine a fair premium. If your firm provides services slightly outside of what is listed on the application, i.e., forensics, provide the insurance companies further details as to what that entails.

If you are not sure how to answer a question on the application please be sure to ask your agent. The more detailed and accurate information provided, the better. If you have any questions with regards to professional liability applications call or email your Professional Underwriters agent for assistance.