Executive architects are basically supporting architects who support the concept designer. However, all too often, the design element of the job is lost. Instead, many executive architects find themselves carrying out a more technical role, as well as focusing on construction.
Building things takes a lot of skill and there is a lot that can go wrong. For this reason, executive architects are advised to take out indemnity insurance. So, what is indemnity insurance and why is it an important thing to have as an architect?
Understanding Professional Indemnity Insurance
Professional indemnity insurance is designed for businesses and professionals who provide their clients with advice. It is there to cover any financial losses which might incur if the professional is sued for making a mistake. It is actually a legal requirement for architects to have professional indemnity insurance. Now that you know what it is, the question is, how can it help?
The Benefits of Professional Indemnity Insurance
Nobody likes to think of the things that can go wrong in business; however, without planning for the potential pitfalls, it’s difficult to protect yourself against financial losses. As an executive architect, there are several things that can go wrong with a job. Whether it comes down to poor construction, or mistakes you made in the plans, you could find yourself facing a claim against your business.
Professional indemnity insurance is there to take care of any legal fees and compensation you may need to pay out. If a claim is made against you, the cost of a solicitor and going to court alone could seriously threaten your finances. So, having insurance in place could potentially save your business if something were to go wrong.
There are a lot of professional indemnity plans out there, so make sure you choose a policy from a well-established company like Gallagher. Not all policies are equal, so it’s important to make sure you’re getting a good deal.
The Challenges of Construction Projects
Executive architects face a lot of challenges with construction projects. One which is becoming an increasing problem in the sector is poor quality, low-cost construction. It’s difficult for architects to produce design-led results when it is ruined by poor construction, so design is losing value in the industry.
Another modern challenge facing the sector is cyber security. Executive architects need to use design software and hardware, so their clients’ projects are stored on the system, making them vulnerable to potential hackers. To avoid data theft, architects need to invest in quality security.
These are just some of the challenges executive architects face in the industry today that make professional indemnity insurance essential to protecting your livelihood when you are self-employed. You can’t always foresee what’s going to happen in the future. So, it’s best to protect yourself to make it easier to deal with any future issues which may arise. If you don’t, you could end up in court facing excessive legal fees and owing a large sum of compensation.