There are many types of insurance available to businesses, however, what is available specifically to architects and engineers?
Professional liability policy is probably the most important type of insurance a design firm needs. This covers your firm for design errors and omissions. The professional liability policy also includes your firms defense of the design errors or omissions. CLICK HERE for an example.
General liability insurance is also commonly required in contracts and with landlords. Generally speaking, this is the trips and falls insurance and not related to your firm’s design work. The general liability insurance policy can be included in a business owner policy, which also includes automobile liability and business personal property.
Workers’ compensation is required if your firm has employees in the state of Colorado. Workers’ compensation is for work related injuries. Principals of the firm are not required to be on the workers’ compensation policy. CLICK HERE for an example.
Cyber liability policy is one that has become more of a need due to cyber security issues. Cyber liability provides coverage for costs arising from cyber incidents such as data recovery, business interruption, legal fees, and regulatory fines. There are several insurance companies that can provide a cyber liability policy and some that are specific to architects and engineers.
Employment practices liability insurance is insurance that protects your firm from financial losses associated with employee-related lawsuits such as wrongful termination, discrimination and other employment-related disputes. EPLI is not as common amongst design firms, however, depending on the size of your firm, there may be a need.
Bonds are another type of insurance your firm may be required to provide. Most commonly, for architecture and engineering firms, the ERISA fidelity bond is needed for a 401k plan.
All of the types of insurance policies are available through your firm’s insurance agent. Please call, or email, your Professional Underwriter agent, for assistance.