An increasing number of members are reporting difficulties accessing affordable and effective Professional Indemnity (PI) Insurance. The market for Professional Indemnity Insurance continues to experience volatility reflective of the perceived risk profile of the construction sector.
Engineers Ireland continues to engage with insurers, statutory agencies and construction industry bodies on the topic of PI Insurance. The area is complex with many different inputs including procurement, fire safety, building regulations etc. The Irish market for PI Insurance is experiencing the same influences as other markets from the UK to Australia. There is no simple solution to the current market, but members can prepare in advance to obtain the best available cover.
Here are some steps to consider when seeking a quotation for cover:
- Preparation is important – the market is more complex so start your search for a quotation 2-3 months before your existing cover expires. This will provide the best opportunity to compare insurance offers.
- Be sure to have a list of your projects and a corresponding risk assessment to provide to prospective insurers.
- Let your clients know that the insurance market is changing - this will allow you to indicate changes, cost and cover for their projects.
- The below video, kindly provided by our partners Griffiths & Armour, provides some additional material.
This 28 April 2021 article from the Irish Examiner may also be of interest to members.
Please also see a link below to Oireachtas TV. On Wed 26 May 2021, Michael Lyons, Chair of our Fire and Safety Division and John Power our Vice President spoke to the Joint Oireachtas Committee on Finance, Public Expenditure and Taoiseach on Professional Indemnity Insurance and difficulties faced by engineering professionals. See the link to the recorded session below. The formal topic is called: ‘Engagement with representatives of the insurance industry.’ The public session begins 18 minutes in.
Watch Oireachtas TV here.
Some newspapers articles about what was said by Michael Lyons and John Power at this committee are provided here:
Irish Times - Home building may be delayed as engineer insurance costs spiral
Irish Examiner - Housing crisis to deepen as fire experts face 'insurance crisis'
Additionally listen back to Michael Lyons on Drivetime, RTÉ Radio 1 at 5:18pm on 27 May 2021 here.