There is no single Professional Indemnity Insurance limit that is appropriate for every Quantity Surveying practice.

The appropriate limit can depend on the scale and nature of the work being undertaken.

What should be considered? #

Factors can include:

• Contractual insurance requirements.
• Project values.
• Maximum project size.
• Types of clients.
• Services being provided.
• Potential financial consequences of an error.
• Whether the business works on major commercial or infrastructure projects.
• Requirements imposed by clients, panels or professional bodies.

A contractual requirement can be an important starting point, but it should not automatically be treated as the amount of cover the business actually needs.

Does project value matter? #

Yes.

A Quantity Surveyor may charge a relatively modest professional fee while providing advice affecting a much larger construction project.

Potential claims can therefore be significantly greater than the fee earned for the engagement.

Should I simply choose the minimum required by my contract? #

Not necessarily.

A contract may specify a minimum limit, but that does not mean the limit is sufficient for every exposure faced by the business.

Conversely, some contracts request very high limits that may not be commercially reasonable or readily available.

Webber Insurance can review the required limits against the business’s actual projects, services and available insurance options.