Liability for Environmental Engineers
As an environmental engineer, your reputation precedes you, your work, and your firm. Part of protecting all three is understanding the types of liability to you face. Whether it's unpredictable site conditions, environmental exposures, under-estimated project costs, or unforeseen errors or miscommunications, there is always a certain amount of risk in every job you do and it is easy for lawsuits to come into the picture.
While you're looking after your clients' best interest, you also need to look after your firm's best interest and financial protection. This is where Errors & Omissions Insurance (E&O) comes into play. E&O Insurance is for environmental architects, engineers, and design consultants and covers a variety of risks that aren’t covered under general business liability insurance.
What is E&O insurance?
Because general liability policies do not cover industry-specific risks, insurance coverage like errors and omissions (E&O) is necessary to provide coverage against any mistakes that cause financial harm to another person or company; for example misrepresentation, design errors, and inaccurate advice. E&O insurance covers both the obligation to pay damages for covered claims and the cost to defend your company against these claims.
Even with E&O insurance coverage, prevention of any liability claims is important and should be part of your everyday business practice. Here are some simple steps that can help eliminate risk:
Always have a written contract that specifically spells out what will be done, what will not be done, and what the fees will be.
Communicate throughout the job and manage expectations realistically.
Have quality control procedures in place and use internal and external audits to check them.
Where to find E&O coverage
There are no standard policy E&O coverage. Because of this, it is very important to find specialty agents that understand E&O insurance coverage and the marketplace. The cost of E&O insurance can vary depending on the class of business, location, past claims (both of the individual insured and of the industry they are in) and from insurance company to insurance company.
Protect your environmental engineering company from potential mistakes
To put it very simply, everyone makes mistakes. Even with the best employees and the best risk management practices in place at your environmental engineering company, mistakes can happen. Protect your business, yourself and your employees and talk to an insurance agent who specializes in your space (844-837-2869) about errors and omissions coverage.
Not purchasing E&O coverage for your business is taking a huge financial risk and can result in a devastating financial loss.