We’ve enjoyed lots of engagement here on the blog lately and one subject that consistently triggers a response from readers is Professional Liability Insurance; what it is, why we need it and if we need it as sole proprietors and owners of small architecture firms.
In this episode of The Entrepreneur Architect Podcast, I interview Frank D. Musica.
Frank is trained as an architect, practiced in Chicago, has earned a Masters of Business Administration and a law degree. Today he is the Senior Risk Management Attorney at Victor O. Schinnerer & Co. Who better to answer all our questions and concerns about this critical and often misunderstood subject, than the man who is in charge of doing just that for at the largest provider of insurance to the architecture profession?
I hope you find this episode very informative. If you have any additional questions regarding professional liability insurance, please send me an email or contact Frank directly. His contact information is listed below with many other useful resources.
If you like what you hear, please take a minute or two to leave a review of The Entrepreneur Architect Podcast over at iTunes. Your review will help other Entrepreneur Architects find the podcast. Together we will make a difference and be an influential force in the profession.
Topics and People Referenced in This Episode
- Frank D. Musica
- Professional liability insurance for architects
- Vic Schinnerer
- Victor O. Schinnerer & Co., Inc.
- History of professional liability insurance for architects
- AIA Trust
- American Institute of Architects (AIA)
- Insurance requirements for small firms
- Reasons why architects should buy professional liability insurance
- How professional liability insurance differs from other insurances
- Other benefits resulting from holding professional liability insurance
- Do AIA Contract Documents require professional liability insurance?
- Pre-claims assistance from insurance company with no additional cost to architect
- Owner/Architect Contract review assistance
- Regional and project type effects on insurance rates
- Types of liability claims on architects
- “Claims Made” insurance coverage
- Limits on claims based on when work was completed
- “Prior Acts” coverage
- Asbestos insurance coverage example
- CNA as underwriter to Victor O. Schinnerer & Co, Inc.
- Exclusions to insurance policy coverage
- Reasons for new firms to obtain coverage immediately
- Difference between insurance brokers and insurance agents
- Importance of choosing the right insurance broker
- Other types of insurance policies recommended for small firms
- Limits of homeowners insurance policies on home-based business claims
- Technology insurance coverage (crashed servers, CAD/BIM file failures, file transfers, viruses, data theft)
- Cost of professional liability insurance
- Factors effecting cost of professional liability insurance
- Why corporations and LLCs do not protect architects’ from professional liability
- Limited liability and waiver provisions to include in your Owner/Architect Agreement to protect from claims
Resources from This Episode
Contact Frank with additional questions or just to say “thank you”
Did You Get The Owner’s Manual for Your Practice? (AIA Convention 2013 Seminar)
Leading A Practice: Making the Transition to Running Your Own Firm (AIA Convention 2013 Seminar)