It’s unfortunate to think about, but architects are often held liable for the mistakes of contractors or others working on a project. When that happens, your business has to provide a defense to protect your own assets. This is not only time-consuming, but expensive. When you have architect professional liability insurance, you don’t have to worry about the costs of your defense, up to your insurance limits of course, and you can focus on your business.
Many claims are filed against architects even when they aren’t the architect of record on a feasibility or planning study. If a client is experiencing delay or cost overruns, they may blame everyone who has ever worked on the project. When a client is frustrated, they may turn to litigation instead of attempting to communicate with the teams involved. Once that happens, you just have to mitigate your defense costs.
Your architect professional liability insurance includes risk management strategies to prevent claims from happening. This is a valuable benefit of your insurance so that you don’t have increased premiums over time. The most important thing this insurance provides is the legal defense so that your firm isn’t bankrupted or disrupted while preparing for your defense. Discuss your insurance needs with an insurance specialist who understands your industry. A successful firm needs to be prepared for every contingency. Your Insurance portfolio is your peace of mind.