Design and Construct Professional Indemnity Insurance may respond to certain claims alleging that professional services connected with construction work caused financial loss.

Common allegations #

Examples can include:

• Design errors or omissions
• Errors in plans or specifications
• Incorrect material or product specifications
• Engineering or technical advice errors
• Incomplete design documentation
• Design coordination failures
• Failure to identify design conflicts
• Additional costs caused by a professional error
• Errors by external consultants for which the contractor is held responsible

Example #

A contractor may engage an engineer to design foundations.

If the design is later alleged to be inadequate, the client may pursue the contractor for matters such as:

• Rectification
• Redesign
• Delay costs
• Additional construction costs
• Other financial losses

The contractor may still face the claim even though the design was prepared externally.

What should I do if a problem arises? #

Notify Webber Insurance promptly if you become aware of:

• A design error
• A client complaint
• A demand
• A potential circumstance
• An issue that could reasonably develop into a claim

Avoid admitting liability, agreeing to settlement or committing to significant rectification costs without first checking the insurer’s requirements.

Whether cover applies will depend on the allegations, the insured professional services and the policy terms.

Contact our team if you need assistance with a potential Design and Construct Professional Indemnity claim.