Architects & Engineers Professional Liability Resources
The Condo Crisis
Insurers report a disproportionate number of claims against architects related to multi-family housing, especially condos. As a result, carriers have developed strict guidelines for firms involved with condominiums, leading to higher rates and smaller appetite for this exposure. According to the AIA, construction defect litigation related to condo projects is on the rise, particularly in certain states—leading to special legislation in at least 27 states to date.
Architects who engage in condominium projects should be well aware of this increased exposure and implement risk management whenever possible. The AIA has developed several tools to help you and your clients evaluate and reduce the risks associated with condo projects.
* information posted with permission of AIA Trust
More Architect & Engineer Resources
-
Architecture Billing Index (ABI) historic low
According to a recent article by Architectural Record, the Architecture Billings Index (ABI), which the American Institute of Architects compiles in part from statistics provided by firms, had dipped below 50 for seven straight months, hitting 39.7 in March, the lowest score in the index’s 13-year history. Anything below 50 represents a billings decrease. In contrast, the score rose above 50 every month last year; in fact, prior to 2008, the score had dropped below 50 on only one occasion (June 2006) in the past three years. The story further goes on to explain that the future outlook might even be bleaker.
-
AIA "Navigating the Economy" Resource Page
We all know that times are tough. Whether you’re already employed at an architecture firm and struggling with the uncertain economy or seeking a job at a firm in this recession, the AIA offers a host of resources, tools, and tips to help you plot your course through these tough times.
-
Naming your client as an additional insured
You may have clients that request you include them as an additional named insured on your professional liability policy. They believe that being included as a named insured or additional insured, provides them further protection should a claim arise. This may be true for some forms of insurance, but it can be exactly the opposite for professional liability polices.
