Benefits of Risk Management in Your Architecture and Engineering Firms
Whether you are a small firm or a large firm good risk management practices are essential. What can risk management look like for your firm?
Risk management can sound like a scary term but it can be very beneficial for your firm. There are many variations of risk management that can help your firm to avoid or lessen the chances of a claim. The biggest risk management is educating yourself and staff in your office. There are many risk management resources available. Insurance companies provide webinars, newsletters, risk management websites and in person presentations. Associations and agents also provide risk management resources such as presentations and blogs.
Risk management is not limited to presentations and webinars. Risk management must take place at your firm such as reviewing contracts, peer reviews and detailed documentation of projects. Insurance companies will review contracts for insurability and it is always advised that your firm’s attorney also review the contract. It is important that the person signing the contract and working on the project understand the terms that are included.
In addition to the risk management efforts stated above your firm can also set up in house quality control procedures, contracts with sub consultants, records retention guidelines, written contracts and a detailed client and project selection process.
Risk management, especially in this day and age, is vital for architecture and engineering firms. It’s your best defense against getting a claim. It may take some time to set up these systems but in the end it will hugely benefit your firm.
Our agency (www.profunderwriters.com) and a/e ProNet (www.aepronet.org) also have resources available for your firm. If you have any questions please call or email your Professional Underwriter.
Currently, our Colorado and Michigan office are offering free risk management seminars. For more information and to register click HERE!
