Practice Risk Solutions

OSPE Primary Professional Liability Insurance

If you or your business provides professional engineering services to the public, you or your business must hold a Certificate of Authorization (C of A). C of A holders assume professional responsibility for the services provided and are generally required to carry Primary Professional Liability insurance as set forth by the PEO.

Primary Professional Liability insurance protects you against liability or allegations of liability for injury or damages that have resulted from a negligent act, error, or omission that has arisen out of your professional capacity as an engineer. Your coverage insures payment of both compensatory damages and legal costs associated with a claim.

It is important to note that coverage is afforded on a “claims-made and reported” basis and will respond to claims made during the policy period. This means that the policy in place when a claim is made will be the policy to respond – regardless of when the incident occurred and subject to your retro-active date. Therefore, it is extremely important there is no lag or gap in coverage between policy periods. Coverage needs to be continuously in place to ensure you are continuously protected.

Your Professional Liability insurance also provides you with the following coverage extensions, among others:

  • Regulatory Legal Expense (Disciplinary) Cover

    Coverage is provided for legal expenses incurred in your defence against a disciplinary action brought against you by an architectural or engineering provincial licensing body (for instance, Professional Engineers Ontario). In the event of a complaint or investigation, members are provided with superior legal representation and defence protection. Examples of Regulatory Legal Expense claims include complaints alleging professional misconduct, incompetence, or incapacity.

  • Loss of Earnings

    If you are asked to attend a mediation, arbitration, deposition, or trial to assist in the defence of your claim, requiring time off work, you will be reimbursed for your loss of earnings.

  • Loss of Documents

    If physical documents (for example, plans, forms, etc.) under your care are destroyed, damaged, lost or stolen your policy will respond to provide coverage for damages and/or the costs/expenses required to replace or restore these documents.

  • Dishonesty of Employees

    Provides coverage for claims arising out of financial loss to third parties caused by dishonest fraudulent or criminal acts of your employee(s) ( for example, if your employee were to steal money, securities or other property from a client while conducting business).

  • Breach of Copyright

    Participants are covered for claims in connection with an actual or alleged breach of patent, design, trademark, or copyright.

  • Contravention of Statutes

    Provides coverage for defence costs associated with allegations that you have contravened municipal, provincial/territorial, and/or federal statutes, regulations, or by-laws (for example, Ontario’s Occupational Health and Safety Act or Building Code Act).

  • Libel and slander

    The policy will extend to cover you for claims arising out of libel or slander committed without animosity by reason of words written or uttered by you in or about the conduct of your professional services.

  • Joint Venture

    Coverage will extend to cover liability arising from a joint venture or consortium arrangement but only where such liability arises out of a claim first made against the insured but only for your interest.

  • Occupational Health and Safety Act

    The policy will pay on your behalf your legal expenses incurred in your defence of proceedings under an Occupational Health and Safety Act with respect to professional engineering services performed for others.

  • Reputation Protection

    Coverage extends to cover you for fees, costs and expenses incurred in retaining a public relation consultant for the sole purpose of protecting your professional reputation in connection with a claim arising under this policy.

  • Breach of Professional Confidentiality

    Coverage extends to cover you for claims arising from a breach of professional confidentiality in our about the conduct of your professional services.

This page is for information purposes to outline the benefits of the Policy. The Policy document itself sets out the terms and conditions of the insurance, including any exclusions or limitations that may apply. In the event of a claim such terms and conditions may limit the amount payable, or exclude coverage.

If you wish to receive the Policy document, please contact us.

Coverage brochure (PDF)