Business Insurance Solutions for Architects

Whether you work as a solo practitioner or run a small architecture firm, you know that every project calls for a combination of art, expertise and careful planning. But in any complex project, there’s a risk of something going wrong, and even small miscalculations can result in big problems down the line.

Most independent contractors and small architecture firms don’t have deep pockets. If you or your company is sued – regardless of whether or not you are at fault – defending yourself against a lawsuit can quickly drain your bank account.

If you or your firm is blamed for an error or omission that results in damage, personal injury or loss of property, or hurts your client’s ability to do business, can you afford a legal defense? Or worse, could you pay restitution if you’re found at fault?

The answer is yes, you can – if you have the right architect business insurance. This page will provide you with an overview of the most requested types of architect insurance coverage, key considerations for architects and the ability to receive a free, secure insurance quote for your business.

What are the most important types of coverages to consider?

Your insurance should fit the needs of your unique architectural enterprise. At a minimum, small architectural firms and solo practitioners should consider two important types of coverage:

Why should I choose Business Insurance Now?

You expect a lot from yourself, and you should expect a lot from your architect business insurance provider. Since our founding in 2000, we have specialized in working with small business owners; in fact, over 15,000 small businesses rely on Business Insurance Now to support their growing needs and helping them manage their risks with fast, affordable architect business insurance coverage.

Solo practitioners and small architectural firms specifically tell us that they want to:

  • Save money without sacrificing quality
  • Get big coverage for their small firms
  • Get the peace of mind they deserve
  • Meet their clients’ contract requirements
  • Talk with our experienced agents — real people with real answers
  • Receive competitive quotes from leading carriers
  • Get claims service they can count on

Business Insurance Now offers all of that, and more.

With skill and luck, you may never face a lawsuit. But if you do, you’ll wish you hadn’t taken the risk of going without insurance. Protect yourself and your company. Apply for a free, secure architect business insurance quote from Business Insurance Now today.

Architect Professional Liability Insurance

What is Architect Professional Liability insurance, and why do I need it?

Also known as "errors and omissions insurance," architect professional liability insurance protects you or your architectural firm against the financial devastation that comes from being charged with either a negligent act or failure to perform your professional duties.

For any covered claims Architect Professional Liability insurance or E&O insurance would pay for your legal defense, as well as damages that you or your firm may be legally required to pay, up to the dollar limit specified by your policy. That protects your company and your future by helping you keep your business running as potential lawsuits move through the courts.

I am a one-person architectural services firm and primarily work on small residential and commercial projects that don’t carry much risk. I have been in business for years and never had a problem. Now a client requires that I show evidence of architect professional liability insurance coverage. Why?

Many smaller architectural firms buy Architect Professional Liability insurance because their contracts require it. Some clients make it an obligation in order to win work. Your client wants you to be financially responsible for any errors. If you make a mistake that results in a lawsuit, your client wants to be sure you have the financial resources to compensate the company for its loss.

Often, architects are contractually required to maintain Architect Professional Liability insurance coverage not only while working on a project, but for years after when a potential problem might arise. Ultimately, maintaining Architect Professional Liability insurance is the responsible thing to do as only active policies cover current and past work.

How does Architect Professional Liability insurance fit with my risk-management strategy?

Architect Professional Liability insurance is an important part of a comprehensive risk management strategy that includes:

  • Identifying and documenting potential risks, and developing strategies to prevent them from becoming problems.
  • Transferring some risk to an insurer by purchasing an insurance policy.
  • Reducing risk by implementing projects in small increments, with careful attention to risk management at every step.
  • Avoiding risk by choosing not to take on risky activities. However, refusing to take on risk may cause you to lose out on potential profits or business gains that may come from taking that risk.
  • Retaining some level of minimal risk, in cases where insuring against a risk would be more costly than the potential losses you could sustain. In instances where these risks become problems, your company accepts any losses that occur. In reality, any risk that you do not transfer or avoid is retained by your company.

What is not covered by Architect Professional Liability insurance?

Architect Professional Liability insurance is not designed to address every type of business risk you might have. Be sure to review the "Exclusions" section of your Professional Liability policy for these and other common exclusions:

  • Unfair trade practices: A competitor sues you for taking one of its clients after hiring one of the competitor’s employees.
  • Non-payment of fees: a vendor sues you for failing to pay an invoice.
  • Willful or dishonest acts: A client sues you alleging that you knowingly and intentionally defrauded it or stole company information. Liability insurance policies respond to allegations of negligence, not allegations of illegal activity.
Get a quote for Architect Professional Liability Insurance now. It’s secure, fast, easy and free.

Architect General Liability Insurance

What is Architect General Liability insurance, and why do I need it?

Architect General Liability insurance protects you against any potential harm to another person or their property. Unlike Architect Professional Liability insurance, Architect General Liability insurance doesn’t cover claims related to the delivery of professional services.

A General Liability and Property package policy can protect your company's assets from a lawsuit filed against you for injury or property damage. Up to the limit set by your policy, it covers court costs and the cost of a legal defense, as well as medical costs for anyone who might be injured on your property or in the course of your doing business. It can also cover physical damage to your property, including theft, and business interruption due to a disaster, such as a fire.

I am moving from a home office and into a small rental office space. What kinds of architect business insurance should I purchase to satisfy the landlord and protect myself against the major risks of my business?

Architect General Liability insurance covers your liability for damage to the space you lease. Architect General Liability insurance also protects you if a visitor at your office is injured.

A package policy or Business Owner’s Policy also can cover your business owned assets in the event of fire, theft, or storm damage. Your package policy should also cover fixed expenses you must pay even if your office is shuttered due to a covered loss, as well as lost profits, the cost to pay someone else to keep your projects going while you’re shut down, and the cost of getting your business back in operation quickly.

But I’ve never needed architect business insurance before. Can’t I get by without it?

Doing business without adequate architect business insurance is risky. Yes, you’ll save money on premiums – but you’re also taking the enormous risk of losing everything in the event of a fire or liability lawsuit.

Business Insurance Now offers lots of architect business insurance options at very competitive prices. You may be surprised at how affordable high-quality architect business insurance can be.

Some of my clients require that I name them as an additional insured on my Architect General Liability policy. Does that cost extra?

Your Architect General Liability policy should cover you for a wide range of property and liability risks tailored to your business and often required by your clients, at no additional cost. When your client’s contract requires special coverage provisions, the last thing you want is a hassle from your insurance company.

For example, when you sign a contract, agreement or permit that requires you to name a client as an additional insured on your Architect General Liability insurance policy, your policy should automatically provide primary coverage for the additional insured. This eliminates the need to request an additional endorsement.

Your policy should also include Primary and Non-Contributory Additional Insured Coverage. If you have agreed in a written contract, agreement or permit that your insurance is primary and non-contributory with the insurance of the additional insured, this coverage provides that your General Liability coverage is primary, and the insurance carrier will not seek contribution from that other insurance.

Some of my clients require a Waiver of Subrogation. What is that?

Also known as a Waiver of Rights of Recovery, a Waiver of Subrogation provides that your insurance carrier will waive any rights of recovery against a person or organization if you have waived your rights of recovery in a contract, agreement or permit executed prior to the injury or damage.

What is a Per Location General Aggregate Limit?

A Per Location General Aggregate Limit provides a separate aggregate limit for damages for each location owned by or rented to you, and can be endorsed to apply to each project.

What is a BOP?

BOP stands for Business Owner’s Policy. This type of package policy includes both General Liability and Property insurance. A high-quality BOP ensures that you’ll be covered for a wide range of property risks specific to your business, including:

  • Business personal property: coverage to repair or replace your business-owned property, such as phone systems, desks, file cabinets and more.
  • Computers and media: coverage for your computers, peripheral devices and media. Coverage is also provided to help pay for the costs to research, replace or repair lost or damaged data and software as a result of covered damage to computer equipment, certain power failures, or a computer virus. Business Income Coverage also applies to computer equipment, data and software.
  • Valuable papers and records: coverage to you for the cost to replace important documents lost in a fire or other covered cause of loss. A BOP would protect the value of your time, work and research to re-create architectural drawings and blueprints if they are destroyed or damaged by covered cause of loss.
  • Business interruption: helps reimburse you for your actual loss of earnings for up to 12 months resulting from a covered loss to your property, plus extra expenses needed to continue your operations, such as renting temporary space.

Get a quote for Architect General Liability Insurance now. It’s fast, easy and free.

What other types of coverage might benefit my business?

Depending on the number of employees who work for your company, you may wish to consider:

  • Workers' Comp insurance to protect your employees in the event of an on-the-job injury. The insurance carrier’s managed care and return-to-work program can help you get your employees back on the job as soon as possible.
  • Non-Owned Auto Liability insurance to protect your company should it be sued due to an auto accident while one of your employees is on company business in a personal vehicle.
  • Employment Practices Liability insurance to protect you from lawsuits from employees alleging wrongful termination, sexual harassment, or discriminatory employment practices.