Review of insurance policies for architects/engineers-
The last quarter of 2023 is approaching, and it is always good to have a review of your firm’s insurance policies. There are a few things to consider when reviewing your firms’ policies.
Professional liability
Know what your firm’s limits are and whether they meet contract requirements your firm may have. This not only involves the limits of liability, but your firm may have a requirement for a deductible amount or that your firm has lower than a specific deductible amount. Additionally, does your firm’s professional liability limit amounts make sense for the size of your firm? There is not a cut and dry answer but if your firm is doing small projects and has a $5 million limit, that may be too high. Or does your firm have high enough limits for the types of projects and in line with your firms’ billings.
Business owner policy
Again, is your firm meeting the contract requirements for general and automobile liability? Also, if your firm has an umbrella, is this amount acceptable for your contract requirements? The business personal property limits are good to review as well. If your firm has large plotters or high-end computers, are those covered properly in the event of a total loss?
Workers’ compensation
This policy is typically cut and dry, however, there are a few things to consider. Does your client require a higher limit than the State minimum? Also, if your firm has employees in other states, even if they are working from home, are those specific states included in your firm’s policy? Be aware of the monopolistic states of North Dakota, Wyoming, Ohio, and Washington. Your firm will be required to follow the state policy if you have employees in the monopolistic states.
It’s always a good idea to review your firm’s policies from time to time. If your firm has questions about commercial lines policies please call, or email, your Professional Underwriter agent for assistance.