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Why do engineers need comprehensive insurance cover?
Due to the nature of work many engineers carry out, they have a crucial duty of care to a wide network of people – including clients, contractors, additional consultants and members of the general public.
As well as covering the physical risks associated with projects involving construction or architectural work, a tailored insurance solution can protect engineers who are also required to offer advice and direction.
Without an adequate level of cover, an engineer can be susceptible to some very serious risks and liabilities, take Anthony for example;
Anthony, a structural building engineer was hired to conduct the final inspection of a building after the completion of a large renovation. Upon inspection, Anthony found several minor items to address which he included in his final report. He had also noticed that the floor beams of the structure were sagging slightly, however, given that this was an older building with wooden beams, Anthony didn’t feel that it compromised the structure and did not include this in his report. Two weeks after the inspection, the building collapsed inward due to a weakening of the interior floor beams. The damage caused to the structure was beyond repair and there was also some damage to the neighbouring building. Anthony was named in a lawsuit and accused of improper a negligent inspection, being held partly liable for the replacement cost of the structure, the damage to the neighbouring building and associated legal costs. All of which would be paid by the insurer (with the exception of the engineer’s deductible), had he been covered.
Don’t be caught in the trap of underinsurance. Professional indemnity insurance covers engineers for the advice and direction they are required to give, whilst public liability insurance covers engineers should they be liable for any third party injury or property damage while they are on-site.
In such a diverse profession including industries such as chemical, forensic, landscaping electrical and civil – it’s important to have a clear and thorough understanding of the specific type of insurance solution required.
Calculating the correct amount of cover for your engineering business can be a tedious and complex process, and trying to do it on your own can be a recipe for disaster. Talk to an Adroit Insurance risk adviser about customising a peace of mind insurance policy to fit your exact needs today!