Why do engineers and architects need General Liability insurance?
Engineers and architects often contribute to projects with a high degree of safety involved, so getting everything right is essential. But even if you’re meticulous in your work, there’s always the risk that something might not go according to plan.
General liability insurance gives you peace of mind that you’ll be covered if an accident happens. Instead of paying out of pocket, your insurance helps pay for the unforeseen costs so you can stay focused on getting the job done. This helps your business remain financially stable since a single accident can result in thousands of dollars in expenses if you don’t have insurance.
For architects and engineers, general liability insurance is also important for securing jobs. Most clients require that you have it, and you may need to submit a certificate of insurance in order to secure an engineering license.
What does General Liability cover for architects and engineers?
Engineers and architects sometimes spend time on clients’ property or work with machinery and heavy equipment. Should an accident occur at work, you may be held accountable for any resulting expenses.
For example, if you accidentally damage an expensive piece of art while drawing up plans at a client’s home, general liability insurance could help to cover the cost of a repair or replacement.
An engineering liability insurance policy can help cover a variety of costs, such as:
- Injuries to people who are not employees
- Damage to someone else’s property
- Accusations of libel and slander
Learn more about what general liability insurance covers.
What are some common risks faced by architects and engineers?
Here are some of the common risks architects and engineers could be exposed to at work:
Damage to someone’s property
While visiting a job site, you accidentally knock over a piece of expensive equipment. General liability insurance can help cover the costs to repair or replace someone else’s property.
Accidents that hurt someone
When a client comes to your office for an engineering consultation, they slip and fall on a wet floor. General liability coverage can help pay for medical expenses and legal fees up to your policy limit.
Note that this coverage excludes accidents that hurt yourself or an employee. You’ll need workers’ compensation insurance to cover those incidents.
Court and legal fees
A client claims that your work was done improperly, causing them thousands of dollars. With general liability insurance, engineers can get help covering the legal fees.
Libel, slander and defamation
You mention a competing engineering firm on social media, implying that their work is inferior. General liability insurance could help protect you from the legal costs if the business owner sues you.
How much does General Liability insurance for engineers & architects cost?
NEXT customizes each general liability insurance policy to make sure you get the right coverage for your business.
General liability can cost as little as $11 per month at NEXT. Although 44% of our customers pay $66 to $85 monthly, the median cost for architects and engineers liability insurance is just $25 per month since this line of work has limited risks compared to many other jobs.**
Some of the factors which affect architect or engineering liability insurance costs include:
- How many employees you have
- How long you’ve been in business
- The state where you work
- Your claims history
- How high you set your limit
How can architects and engineers save money on General Liability insurance?
While cheap general liability insurance for architects and engineers isn’t always possible if you want sufficient coverage, you can do several things to lower your premium rates, such as:
Keep your risk level low
A safety and training plan can help to limit the likelihood of accidents and claims that could eventually raise your insurance costs.
Learn from previous claims
Look at your previous claims (if you have any) and see out what you could have done to avoid those risks.
Pick the right limits and deductible
Lower limits will save you money, but you will have higher exposure to risks if you don’t get enough coverage. And if you choose a higher deductible, you will pay less for the policy (a deductible is the amount of money you pay before your insurance policy kicks in).
Bundle more than one policy
You can save up to 10% if you purchase more than one type of coverage with NEXT. For example, if you buy a commercial property policy and general liability policy, you could save on your insurance costs.
NEXT offers tailored business insurance for architects and engineers
NEXT makes it easy to find insurance for architects and engineers, civil engineers, structural engineers, architects, interior designers and other types of small businesses. Our simple and straightforward services help you find the coverage that’s right for you while keeping your architect or engineer liability insurance costs low.
Everything can be done online in just a few minutes. Use your computer or mobile device to apply, compare insurance options, purchase coverage and get a certificate of insurance.
Get an instant quote online today.
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