Florida engineers engage in important work throughout the state. Whether its civil engineers providing much-needed repairs to our infrastructure or biomedical engineers creating breakthrough innovations, you are an essential part of the state’s economy.
Though your work is important, it also leaves you open to potential risks. That’s why Florida engineers often consider different types of insurance to help protect them while they work. One form of coverage is Professional Liability. Let’s take a closer look at this form of insurance and how it could help engineers in Florida.
Professional Liability insurance for engineers
A Professional Liability insurance policy (also known as Errors and Omissions or E&O insurance) is an essential policy that protects you and your company in case of a lawsuit due to alleged professional wrongdoing.
What does Professional Liability insurance cover?
The coverage provided by Professional Liability covers a range of common liability claims, including:
- Mistakes
- Errors
- Omissions
- Missed deadlines
It also covers more serious allegations of misconduct, such as undelivered services, allegations of professional negligence, and breaches of contract.
Why do Florida engineers need Professional Liability?
Engineers in Florida and across the nation engage in professional activities that put them at risk of liability claims. These include:
- Giving advice to clients based on your professional knowledge and expertise
- Providing professional services directly to clients
- Representing a clients’ interest on their behalf
The above activities could leave engineers open to potential claims if a client is dissatisfied with the work provided. A small mistake or missed deadline could result in a financial loss for your client. If you are found liable, you could be ordered to pay compensation. This expense, on top of the legal costs incurred while defending your business in court, could be financially devastating.
Professional Liability removes this burden by paying your legal expenses, including settlements and judgements, so you are not left out of pocket. This could mean the difference between reclaiming your professional reputation or closing your business.
Is Professional Liability required in Florida?
Engineers in Florida are not legally required to have Professional Liability insurance, but other third parties may require it.
Professional associations often require its members to maintain minimum levels of Professional Liability coverage. This information is usually available on their website or in other communication with members.
Clients may also require the engineers they work with to have Professional Liability insurance. This may be written into their business contracts, and you might be asked to provide proof of insurance before beginning work.
Even if your current clients do not require you to have Professional Liability insurance, a policy could be important to expanding your business. A Professional Liability policy shows potential clients that you value your reputation and are prepared to defend it, if necessary. It also provides important peace of mind that if something goes wrong during their project, you will be able to provide financial compensation.
How much does Professional Liability insurance cost?
Professional Liability insurance premiums (the amount you will regularly pay for your policy) are based on several factors. These may include:
- The industry you work in
- Your business revenue
- How much coverage you need or want
- Your history of Professional Liability claims
- The risk management procedures you have put in place
For this reason, the cost of Professional Liability insurance varies. What you pay for a policy may differ widely from another engineer working in the same field. The best way to learn how much you can expect to pay for Professional Liability is to seek quotes from multiple insurers.
When applying for Professional Liability insurance (or other business policies), it’s important to answer the questions carefully and accurately. This will help ensure that you are offered policies that fit your specific needs and potential risks and that you are given correct pricing information.
Other types of insurance to consider
Professional Liability insurance alone may not be enough to help protect your business against potential risk. Engineers in Florida often consider other forms of coverage, such as:
- General Liability – This insurance can protect you against any claim by an outside party regarding injury or damage to their property. In these instances, your policy will cover your legal expenses as well as your cost to replace or remedy the situation up to the limits of liability.
- Business Owner’s Policy (BOP) – This is a convenient and affordable way for small business owners to protect against several of their most common exposures. These policies combine General Liability insurance with other types of coverage, such as business interruption and business property damage.
Where can Florida engineers find Professional Liability insurance?
Engineering is a demanding occupation, and you likely have little spare time to find and compare different Professional Liability insurance policies. This is where BizInsure can help busy engineers like you.
Our website lets small business owners, including engineers, compare and buy insurance online and in minutes. Enter your details once to receive multiple quotes for multiple insurance policies from multiple insurers at the same time. You can easily buy Professional Liability and other business insurance policies online, then receive your proof of insurance instantly by email.
