Professional Indemnity Insurance can respond to certain claims alleging that a Project Manager’s professional services, advice, error or omission caused financial loss.

Examples can include allegations involving:

• Project scope
• Budget management
• Scheduling
• Project coordination
• Contract administration
• Documentation
• Instructions or variations
• Progress assessments
• Project reporting
• Consultant coordination
• Contractor coordination
• Failure to identify or report a known issue

A Project Manager can also be included in a claim where the original error was made by another consultant or contractor.

The allegation may be that the Project Manager failed to:

• Coordinate
• Monitor
• Document
• Escalate
• Report

the issue appropriately.

What can the policy pay? #

Depending on the policy and circumstances, cover can include:

• Legal defence costs
• Expert expenses
• Insured compensation or damages
• Approved settlements

Professional Indemnity Insurance does not automatically cover every contractual obligation.

Indemnities, warranties, performance guarantees and other obligations accepted under a contract may extend beyond the policy.

The insurer should be told about the complete services provided, including design coordination, contract administration, cost management and engagement of subcontractors.

Contact our team before materially expanding your Project Management responsibilities.