the insurance policy
Land surveyors can be sued and held personally liable for the professional services they provide. The courts hold professionals to the standard of care of that of a “reasonable professional”, which is based on the standard prescribed by the professional’s peers. By signing a survey plan, the land surveyor is certifying that what is depicted on the plan complies with the legislation and the professional standards of the applicable governing association. The Professional Liability Policy through the Professional Surveyors Canada Insurance Program is designed specifically for professional land surveyors. It will respond and defend surveyors should they become legally liable to pay for damages resulting from the performance of professional services, subject to the terms and restrictions of the policy. Professional services include any services that were rendered or should have been rendered by you in the practice of the profession as a licensed land surveyor including incidental engineering services which:Here’s a snapshot of the program features of the Professional Liability Insurance Program for Surveyors and Engineers: Full Retroactive Coverage is automatic. No retroactive date for expiring policy with full Prior Acts coverage. Two Year Policy Option with the ability to lock in the rates and coverage for a 24-month period but still pay the premium annually. Broad Definition of Insured: The Definition of Insured includes:
- a land surveyor is qualified to undertake by training whether by custom or common practice;
- are provided by a professional engineer in the employ of the Insured.
- The Named Insured
- Any present or former partner, officer, director, shareholder or employee of the;
- Named Insured
- Any predecessor company or partner for the named Insured or as a consultant for the Named Insured;
- Any individual or personal corporations employed by the Named Insured under a professional services contract or personal services agreement and employees of others on loan to and while working for and under the guidance of the Named Insured
- Any partnership, firm or corporation acquired or in the process of acquiring a/o merged or in the process of acquiring
- Joint Venture or consortium arrangement
- Estate of Insured.
- Example #1: if the loss is $8,000, and the deductible is $5,000, then the surveyor and the insurer will “split” the loss and each contribute $4,000 towards the claim. Without this clause, the surveyor would have to contribute $5,000 and the insurer would contribute $3,000.
- Example #2: if the loss is $20,000, and the deductible is $5,000, then the surveyor pays the full deductible of $5,000; and the insurer pays the $15,000 balance of the loss.
- Example: if the deductible is $5,000 the most the surveyor will pay in any one policy year is $10,000, regardless of the number of claims.
Additional Coverage EnhancementsThe PSC Program Policy will provide the following enhanced coverages up to each of their respective sub-limits. Up to an annual aggregate of $250,000, the following sub-limits are in excess of the limit of liability. Once the annual aggregate of $250,000 has been exhausted, the individual sub-limits still apply however, they will erode the overall limit of liability. Occupational Health and Safety coverage provides Reimbursement for your legal expenses incurred in your defence of a proceeding against you under the Occupational Health & Safety Legislation up to $50,000. Disciplinary Action coverage for legal expenses incurred in defence of a disciplinary action brought against you up to $50,000. Loss of Documents coverage for reimbursement of expenses incurred in replacing and/or restoring such documents that have been destroyed, damaged, lost of misplaced up to $100,000. Breach of Confidentiality coverage provides supplementary payment which you become obligated to pay as damage as a result of an inadvertent breach of confidentiality arising out of your Professional Services up to $250,000. Libel and Slander coverage provides supplementary payments, which you become obligated to pay as damages as a result of unintentional libel or slander uttered or published by you arising out of your Professional Services up to $250,000. Unauthorized Practice coverage provides reimbursement for costs, charges and expenses incurred in defending actions, suits, charges, or proceedings against you before tribunals, courts, or boards of governance involving allegations of the rendering of services, which are not customary to the Profession of a Land Surveyor up to $50,000.
Retirement or Sale of Business CoverageRetirement/ Sale of Business Coverage is available to all firms and/or individuals who have been Insured with the PSC Program for 5 consecutive years upon sale of their firm or retirement from practice. The retirement policy provides the same protection as the original Errors and Omissions policy, but is designed for inactive individuals and/or firms, and will respond to claims first presented during the Retirement Period, resulting from professional services rendered prior to the date that Retirement/Sale of Business coverage incepts. Pricing for the Retirement/ Sale of Business Coverage is as follows:
- 1 year run-off at current limit on insurance = 75% last annual premium
- 2 year run-off = 100% of last annual premium
- 3 year run-off = 125% of last annual premium
- 4 year run-off = 150% of last annual premium
- 5 year run-off = 180% of last annual premium
- 6 year run-off = 195% of last annual premium
Determination of PremiumsPremiums are based on an equitable formula derived from actual surveying claims statistics and developed by the PLIC and the Broker. The premium rating factors are as follows:
- Revenue (overall revenue, construction related revenue, engineering revenue)
- Number of land surveyors
- Limit of insurance
- Claims experience.