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Practice Notes

In-depth white papers providing real details on complex issues related to design professional liability and risk management.

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Reporting Claims and Potential Claims Under Professional Liability Insurance Policies (Vol. 18, No.1, 2011)

Reporting Claims and Potential Claims Under Professional Liability Insurance Policies (Vol. 18, No.1, 2011)

03/20/2014
Reporting Claims and Potential Claims Under Professional Liability Insurance Policies (Vol. 18, No.1, 2011)

Before a design professional decides whether or not to report a professional liability claim, or circumstance out of which a claim might arise, he or she must understand the definition of a claim, circumstance and what is required of them under their policy.  The pros and cons of reporting or not reporting a claim are more fully explored in this Practice Notes.

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The Cost of Perfection: A Design Professional's Perspective (Vol. 17, No.1, 2007)

The Cost of Perfection: A Design Professional's Perspective (Vol. 17, No.1, 2007)

The Cost of Perfection: A Design Professional's Perspective (Vol. 17, No.1, 2007)

There is a downside to trying to attain a perfect project including increased costs and a fracturing of the project team among others; in the end this may even cost the success of the project. Owners that involve themselves in a collaborative and cooperative team approach with the design professional (and construction contractors when identified) are most likely to accomplish successful projects. This team approach involves the honest exchange of ideas, information and problem solving efforts that minimize costs and improve results. However, there is a trend with some owners to define a successful project as one without any risk to the owner. This “risk free” approach is anything but risk free; in fact it may be just the opposite. This document was written to explain some of the ramifications of this trend that involves risk shifting and cost recovery efforts by some owners in an attempt to attain perfect projects.

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The Cost of Perfection: A Design Professional’s Perspective (Vol. 17, No.1, 2007)

The Cost of Perfection: A Design Professional’s Perspective (Vol. 17, No.1, 2007)

The Cost of Perfection: A Design Professional’s Perspective (Vol. 17, No.1, 2007)

There is a downside to trying to attain a perfect project including increased costs and a fracturing of the project team among others; in the end this may even cost the success of the project. Owners that involve themselves in a collaborative and cooperative team approach with the design professional (and construction contractors when identified) are most likely to accomplish successful projects. This team approach involves the honest exchange of ideas, information and problem solving efforts that minimize costs and improve results. However, there is a trend with some owners to define a successful project as one without any risk to the owner. This “risk free” approach is anything but risk free; in fact it may be just the opposite. This document was written to explain some of the ramifications of this trend that involves risk shifting and cost recovery efforts by some owners in an attempt to attain perfect projects.

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Understanding and Developing a Risk Management Policy for Condominium Projects (Vol. 16, No.1, 2006)

Understanding and Developing a Risk Management Policy for Condominium Projects (Vol. 16, No.1, 2006)

Understanding and Developing a Risk Management Policy for Condominium Projects (Vol. 16, No.1, 2006)

I am currently watching a 10-part Discovery Channel series called “The Deadliest Catch”. It chronicles the fishermen involved in the Alaskan King Crab trade out of Alaska, where each year 250 boats converge on Harbor, awaiting the official King Crab harvesting season. The injury rate is a staggering 100%, with at least one fisherman per year guaranteed to die. The reward is up to $140,000 for five days of work. Although I hesitate to make an analogy between “The Deadliest Catch” and Architects venturing into the risky waters of condominium projects, I must admit that, during the first episode, the analogy crossed my mind. Maybe I work too much, or maybe it is the fact that every single day I receive telephone calls from design professionals asking me to assist them in navigating the risks of condominium projects. The rewards can be great, but the risks are extremely high, often outweighing the potential rewards.

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An Introduction to Typical Liability and Property (Vol. 15, No. 1, 2003)

An Introduction to Typical Liability and Property (Vol. 15, No. 1, 2003)

An Introduction to Typical Liability and Property (Vol. 15, No. 1, 2003)

Design specialization has been established as an effective method for project development and delivery. It is well recognized by sophisticated project owners and developers as both cost effective and time sensitive. A knowledgeable owner would scarcely engage the services of a design firm specializing in fast food restaurants if the owner were planning the construction of a regional indoor shopping mall. A similar rationale applies to insuring design firms. A design professional is far better served by a specialist agent and broker whose main focus is insuring design professionals. Designing an effective insurance program is as uniquely individual as project designs are for individ ual owners.

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