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Professional Liability Insurance

BulgarBlogger

Landed my first commercial client as a licensed architect in NY.

Setting up a firm and need to find out some informationon professional liability insurance, specifically:

1) Cost of insurance

2) Reputable brokers or companies that I can explore

Any information will be much appreciated! 

Thanks!

 
Apr 6, 16 1:13 am
awaiting_deletion

its based on estimate cost of work completed so will be minimal first couple years $1, 500 to $2,500....look up Porter Yee or some combination thereof, they represent mulitple insurance vendors

Apr 6, 16 6:37 am  · 
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null pointer

Hiscox is cheap and pretty good.

Olaf's estimates are on the dot.

Apr 6, 16 8:21 am  · 
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Olaf's estimate is right. I got my initial E&O through my State Farm agent, who also insures my house and cars. State Farm has a Specialty Services division that offers E&O.

That said, do you need business liability insurance, or E&O? I have a business liability policy that's only about $300/year. But it covers things like someone having a slip and fall incident at my office (which is my house), not at a project of mine. I think it would also cover something like if I'm on a jobsite and I turn around, accidentally smack my roll of drawings into a consultant, and in attempting to duck she stumbles into a bed of wet cement and sprains her wrist (not that this has ever happened). But E&O is *only* to cover problems with the work itself. When I first did a public project I was required to have both.

Apr 6, 16 10:20 am  · 
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urbanity

Try Hiscox, you can purchase direct without a broker, and make monthly payments without a finance charge or broker fee. I was able to cut my insurance premium in half.

Feb 4, 17 10:21 am  · 
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thisisnotmyname

XL Catlin is our carrier for E&O.  They have some really good online CEU material about contracts, CA procedures, etc.  

Business liability through State Farm.

You should have both E&O and business liability.   Experienced clients will expect/require both types.

Apr 26, 17 5:18 pm  · 
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I got mine through Hiscox.

I'm only doing small residential and commercial projects on the side. With an expected billing total of 25K for the year, my yearly cost for professional liability insurance is $500.

Seems to cover all I need it to for the types of small projects I take on.

Apr 27, 17 7:25 am  · 
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chigurh

Hiscox is garbage - they don't cover architects that sub out consultants (civil, structural, MEP) which is every architect.  I talked to a rep and the guy said he has only ever signed up one architect in the entire time he has been working there in 10 years.  If you think you are covered you probably are not - read the fine print. 

Sep 22, 17 6:13 pm  · 
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chigurh

hope you never have a real claim they reject because you used a structural engineer as a consultant.

Sep 22, 17 8:56 pm  · 
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chigurh

Business liability insurance is not the same as professional liability insurance which is used interchangeably with E&O.  This is confusing. Hiscox is fine for business liability, as Donna said, it doesn't cover any issues with the work and that is where you can really get screwed.  

Sep 22, 17 11:07 pm  · 
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rjb2803

I use Constructaquote for my Business Insurance for my insurance

Apr 11, 18 6:26 am  · 
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