Architects and Engineers Professional Liability (A&E)

One of the fastest growing areas of professional liability insurance today is Architects and Engineers Professional Liability (A&E). A&E has a widely diverse liability coverage area that provides both defense and indemnity for claims that may arise out of specific disciplines within the A&E class of business for services provided by those professionals. From Design Build to Construction Management to Environmental, the proper liability insurance coverage and policy is crucial to the A&E professional. At Stateside Underwriting, our professionals understand the individual needs of each of our insureds and work with our markets to provide the best professional liability coverage possible.

An architect is a design professional who uses creativity and a practical understanding of structures and materials to provide for people's living and working environments. In satisfying human needs for shelter, architects must take into consideration factors such as: aesthetics; the personal tastes and needs of the client; the site; materials; costs; and environmental factors.

Types of architects and engineers can include the following:

• Residential architects
• Commercial architects
• Civil Engineers
• Construction Managers
• Design/Build
• Electrical Engineers
• Forensic Engineers
• HVAC Engineers
• Interior Designers
• Landscape Architects
• Land Surveyors
• Mechanical Engineers
• Structural Engineers
• Telecommunications Engineers
• Urban Planners

An architect or engineer normally requires an insurance policy that provides protection for property damage claims, which most A&E insurance policies cover. However, some A&E firms, such as specialty engineering consultants, operate as specialty consultants and might not purchase an A&E policy form. Since many non-A&E professional liability policies exclude property damage claims, it is important to match the coverage with the specialty services provided by the architect or specialty engineer.

Specific coverage provisions are important for this coverage. Some professionals require coverage with special provisions to protect themselves from unique claims arising from their specialized services. For example, an engineer specializing in pollution control or clean up systems might require a modified pollution exclusion.

A&E professional liability is usually provided to a firm on an annual basis with a policy called a practice policy. The term "practice policy" is used because it covers an architects or engineers entire practice. Coverage is sometimes provided on a project basis rather than a firm or practice basis. Project coverage typically provides professional liability coverage to all professionals working on a particular project for claims arising from that project. Note that some practice policies have an exclusion for claims that are covered under a project policy.

CLAIM DETERMINATION...Any claim is subject to the actual policy wording/endorsements and the coverage for a claim shall be determined using the policy wording.

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