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How do subcontractors affect an Environmental Consultant’s Professional Indemnity Insurance?
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Environmental consulting projects often involve several specialist disciplines. Engaging a subcontractor does not automatically remove the Environmental Consultant’s responsibility to its client.

Which specialists may be engaged? #

Examples include environmental scientists, contaminated land consultants, ecologists, hydrogeologists, occupational hygienists, laboratories, engineers and asbestos consultants.

Can the principal consultant remain liable? #

Potentially. Where the business contracts to provide the overall service, the client may still make a claim against it for work performed by a subcontractor.

The client contract and subcontractor appointment should clearly allocate each party’s scope and responsibility.

What should be checked? #

Consider the subcontractor’s:

  • Qualifications and relevant experience.
  • Professional Indemnity Insurance.
  • Insured activities and policy limit.
  • Public or Environmental Liability cover where relevant.
  • Licensing and accreditation.
  • Quality-control arrangements.

Their insurance protects their business and does not automatically replace the principal consultant’s cover.

What about pollution or asbestos work? #

Pollution, contamination and asbestos activities require particular attention. Standard Professional Indemnity and Public Liability policies may contain restrictions or exclusions.

Specialist Environmental Liability or Asbestos Liability Insurance may need to be considered.

Must subcontracting be disclosed? #

Tell Webber Insurance what work is subcontracted, who performs it, the proportion outsourced and the insurance those parties maintain. Insurers need an accurate picture of how the professional services are delivered.

General Advice Warning: The information on this page is general in nature and does not take your personal circumstances into account. You should consider whether it is appropriate for you and seek professional advice before making any decisions. For tailored advice, please contact Webber Insurance Services.