E&O Insurance
E&O Insurance
(OP)
Due to the slow economy I am considering not renewing my E&O insurance. Does anybody know about options to insure specific project, when the builder requires insurance?
If so, what would the cost be? Absolute $amount? Percentage of design fee? Percentage of construction cost? Where can I buy it?
Thanks for your input.
If so, what would the cost be? Absolute $amount? Percentage of design fee? Percentage of construction cost? Where can I buy it?
Thanks for your input.





RE: E&O Insurance
What limits of coverage do you have now? How much is your premium?
If you dont renew this year, can you get it back when the economy turns around? Hopefully, when you do, others wont see this as you being dropped by the insurance carrier, which could make your premiums higher.
RE: E&O Insurance
my current coverage is 100,000 per claim, max 300,000 aggregate per year, with a $5,000 deductible.
Premium is $3,000 per year, based on an assumed reveue of $70,000, and the vast majority of the projects done in residential construction.
Carrier is Pearl through ASCE.
RE: E&O Insurance
RE: E&O Insurance
You are practicing in an increasingly high exposure area...residential.
RE: E&O Insurance
RE: E&O Insurance
When a lawsuit occurs lawyers will allways go for the path of least resistance for the greatest reward, and it is downright uncanny how the amount of damages sought in the lawsuit almost always matches the value of insurance coverage.
This seems especially true in this sue happy day and age.
Just my two cents worth.
Always remember, free advice is worth exactly what you pay for it!
RE: E&O Insurance
Rafiq Bulsara
http://www.srengineersct.com
RE: E&O Insurance
RE: E&O Insurance
I'll never go through the ASCE insurance again. Their underwriter then did not want to cover my buisness because I "worked with contractors." I replied back with some good french and told them of course I worked with contractors - I'm a civil engineer!
Robert Billings
www.newrivereng.com
http://www.facebook.com/robert.billings?ref=name
RE: E&O Insurance
RE: E&O Insurance
I carry 1 million in professional liability...mostly because some of my clients require that level.
In the 1980's, professional liability insurance was extremely hard to get. I went bare for 6 years...never had a claim with or without insurance (lucky!). I'm very careful about what I write and how I do my contracts. My general conditions protect ME! I try to only sign contracts under my terms and conditions. Not always possible, but I try.
RE: E&O Insurance
Civil Development Group, LLC
Los Angeles Civil Engineering specializing in Hillside Grading
http://www.civildevelopmentgroup.com
http://www.civildevelopmentgroup.com/blog
RE: E&O Insurance
www.PeirceEngineering.com
RE: E&O Insurance
I have heard that once you break coverage it will be higher when you renew later. I am in a situation where I need to obtain insurance and here is my case below.
I am planning to open my own practice next year, but currently still working for an engineering firm. Recently I was given an opportunity to work on the side to develop relationships with new potential clients for my future business. The new engineering firm that have offer me this opportunity would like me to have insurance coverage. They have offer to included me under their policy to reduce the cost of my premium and a favor to me. I would be paying for what the extra cost of the premium would be to include me. My question is this, would it be a good idea to be under their cover or should I seek my own insurance coverage? I have no prior coverage.
The other thing is contract issue. I prefer to have me own contract with the client directly, however this may not be the case. The engineering firm is trying to get the project by providing both the civil and structural service. I would be doing the structural scope.
Any thoughts? Thanks in advance for your inout.
RE: E&O Insurance
Mike McCann
MMC Engineering
Motto: KISS
Motivation: Don't ask
RE: E&O Insurance
www.PeirceEngineering.com
RE: E&O Insurance
My methods of insurance remain in maintaining a close relationship with my client, careful double check of my work including specs and contracts, not getting in over my head, turning down clients/jobs that i dont feel good about, and being willing to help immediately if/when any problem arises.