Insurance for Engineers
Contractors Insurance is a trusted, award-winning, commercial insurance brokerage firm that is based in Ontario. One of our areas of focus is to offer the best coverage insurance for Engineers so they can continue to rule the world! (ERTW humor)
So whether you are a self-employed/contracting engineer or part of an engineering company, having the right, customized professional engineer insurance will help protect you from financial loss due to the risks associated with your industry.
We have served thousands of Ontario professionals, contractors, and tradespeople through the years. We have gathered industry recognition for the calibre of service that we provide. With Contractors Insurance, you can be sure that you are in good hands.
What Is Professional Engineer Insurance?
Professional engineer insurance refers to the group of insurance coverages that protect the interests of engineers, whether they are independent contractors or part of an engineering firm.
The term “professional engineer insurance” may immediately point to professional liability insurance for engineers because this type of insurance is essential for engineers who provide their services (in accordance with Ontario’s Professional Engineers Act). However, depending on the unique risks that you face as a professional engineer, as well as your risk management preferences, you can bundle professional liability insurance with other coverages to get a broader scope of protection. Insurance for Engineers will be unique and custom to you.
The following can be included in your professional engineer insurance:
Professional Liability Insurance for Engineers
Oftentimes engineers are tasked with high-stakes projects wherein structural strength, functionality, and/or form are all expected to align with client expectations and industry standards of safety. However, mistakes can happen. Hence, professional liability insurance, also known as Errors and Omissions insurance, is there to protect engineers from litigations and financial loss arising from:
- Errors and perceived errors
- Negligent engineering advice
- Incorrect calculations
- Failing to follow industry standards
- Unexpected costs and delays
Commercial General Liability Insurance for Engineers
For engineers, general liability insurance usually picks up from where professional liability insurance ends. Commercial general liability covers repair/replacement costs, medical costs, and legal costs associated with the following:
- Third-party injuries or property damage relating to the ongoing/completed project wherein the engineer/firm is found responsible
- Third-party injuries that take place within the engineer’s business premises wherein the engineer/firm is found responsible
- Advertising or reputational injuries (libel, slander, copyright infringement, and so on)
Commercial Property Insurance
Most engineering firms have an office where they work and where they receive clients. This space is usually filled with valuable tools, equipment, documents, and various other possessions. Commercial property insurance covers for financial loss if this workplace is subjected to the following:
- Theft and vandalism
- Natural disasters that damage the property or limit its accessibility
- Business interruption due to the above causes.
Commercial Auto Insurance
If your engineering firm has a fleet of vehicles used regularly, then you will benefit from securing commercial auto insurance. This insurance type will cover the medical/repair/replacement/legal costs in relation to the following unforeseen situations:
- Bodily injuries caused by your commercial vehicles
- Property damage caused by your commercial vehicles
- Theft or vandalism done to your commercial vehicle
Surety bonds may be required for certain projects. These serve as a guarantee that the engineer will complete the project in accordance with the contract and in line with regulations.
Who Can Benefit From Professional Engineer Insurance?
Professional engineer insurance is beneficial to all kinds of engineers in Ontario from various industries, including those who are self-employed. Business owners and leaders of such engineering firms can also take the steps needed to make sure everyone in the firm is well-insured as this will protect the employees and the business, in the face of unforeseen events and consequential financial loss. Engineers and engineering firms are exposed to the following risks regularly:
- Client lawsuits regarding unsatisfactory work, even in the absence of property damage or injury
- Lawsuits from third parties due to property damage or injury in relation to a project in progress or a completed project
- Lawsuits regarding bodily injuries to the client or other third-party within the business’s premises
- Bodily injuries to the engineer in relation to job tasks
- Vehicular accidents while the engineer is en route to the project sites
- And more.
We have helped numerous engineers in setting up the most fitting professional engineer insurance to protect them from the risks mentioned above. If you have questions for us about this insurance type or if you’d like to set up insurance for yourself or your engineering firm, we’ll be happy to help.
Why Is It Important for Ontario Engineers to Have Engineer Insurance?
Professional liability insurance for engineers, also known as Errors & Omissions insurance, is the foundational type of insurance for engineers since this protects engineers from litigations and financial loss if they are charged for mistakes, negligence, and so on.
Additional coverage from other insurance types adds more layers of protection extending to instances of third-party bodily injury, bodily injury sustained by the engineer, road accidents, and other liabilities. With a personalized engineer insurance bundle, you or your engineering firm can be saved from financial losses, amounting to hundreds of thousands to even millions, in relation to the above unforeseen scenarios.
Engineer Insurance Claims Examples
Claims Example #1
Due to unforeseen circumstances and miscalculations, the project is over budget by $50,000 and is delayed by 1 month, leading to additional soft costs in the form of lost income for the client. The client sues you for professional negligence.
The client successfully sues. Your professional liability insurance will cover the total cost (including legal fees and settlement) of $100,000.
Claims Example #2
You are on your way to a job site when your commercial vehicle got involved in an accident. You are alright but the other driver is badly injured and both cars are damaged. You are sued for bodily injury as well as property damage.
The client successfully sues. Your additional coverage of commercial vehicle insurance will cover the property repair costs, medical costs, and legal fees – amounting to a total of $45,000.
Claims Example #3
An accident at the job site leaves you injured with a broken leg and you will need medical treatment and at least 4 weeks of rest before resuming normal duties.
Your engineer insurance policy will cover the medical costs as well as lost income amounting to $23500.
Leading Provider of Commercial Liability Insurance in Ontario
Our customer-centric approach drives everything we do and is one of the main reasons our clients prefer and trust us. From the beginning, we wanted to give a uniquely better customer experience. For that reason, we offer the following benefits:
Personalized Insurance Plans
Get exactly the coverage you need. With an insurance plan that is tailor-fit for your needs, you would only need to pay for the coverage that will benefit you—no unnecessary riders. After all, who knows your business better than you do?
Transparency on Coverage and Limitations
We are transparent about all the details of the insurance plans that we put together. We can discuss how it all works, what the limits/exclusions are, what are the triggers for the policy, and so on. You won’t need to do any guesswork regarding what your coverages are.
Thorough and Straightforward Insurance Education
Utmost clarity is our aim in all our client dealings. This is why we avoid any confusing jargon and explain everything insurance-related in the most effective way. This is the best way for you to know your insurance plan through and through and you’ll be able to voice out any concerns or preferences that will help us optimize your insurance plan even more.
Frequently Asked Questions About Professional Engineer Insurance
The foundational insurance type needed by engineers is professional liability insurance. The average cost of this kind of insurance is around $60 per month for a coverage limit of $500,000 to $2M. Additional coverage would add more to this monthly cost but bundling insurance coverages together can make it more cost-effective.
Ready to Get the Coverage You Need?
In need of Engineer Insurance? As one of the most trusted insurance brokerage firms in Toronto, Contractors Insurance is here to help! Through the years, we have helped various independent contractors in setting up tailor-fit insurance plans that fit their unique needs.
We can set up professional engineer insurance for you that provides professional liability coverage along with any additional coverage that will benefit you the most.
Our dedicated and professional insurance brokers are ready to assess the risks of your business and listen to your preferences to give you the best insurance plan possible. You can count on our committed service to help you propel your business to a more secure and successful future.