Professional Liability Insurance
Do Design-Build Contractors Need Professional Liability?
Yes — absolutely. Design-build contractors own both the design and construction risk. Professional liability is essential because your GL policy won’t cover design errors.
Call (234) 231-8427 — Mon–Fri 9AM–5PM EST
Do design-build contractors need professional liability insurance?
In traditional construction, the architect carries E&O for design errors and the contractor carries GL for construction errors. In design-build, one entity owns both — concentrating all professional and construction risk on the design-build firm.
If your design has errors that require expensive rework, if your performance specifications aren’t met, or if your design decisions cause the owner financial harm, those are professional liability claims. GL won’t respond.
Design-build professional liability typically costs $2,000–$6,000/year depending on revenue and project types. Given the concentration of risk in design-build delivery, it’s a fundamental coverage requirement.
Ready to explore professional liability coverage?
Trade Safe shops dozens of A-rated carriers to find the right professional liability policy for your contracting business.