Per-Claim Limits of Architectural Firms: April 2020
Another important factor to consider when evaluating your firm is to understand your firm’s insurance coverages, limits, and deductibles. Proper insurance coverage and deductibles as well as adequate policy limits are factors to consider when making a final analysis on a potentially high-risk project.
60%
50%
40%
30%
20%
10%
0%
$100
$500
$5,000
$250
$1,000
$2,000
$3,000
Limits in $1,000s
Smaller firms = annual billings $5 million and below Larger firms = annual billings over $5 million
Percentage of Deductibles to Gross Billings for Architectural Firms
The graphs on these two pages can help firms benchmark their statistics against their peers. These graphs can also help design professionals educate their clients regarding policy limits that may be contractually required by illustrating what other design professionals typically carry.
1.5%
1.2%
.9%
.6%
0% .3%
2010
2012
2016
2011
2013
2014
2015
2017
2018
2019
35 • From Risk to Profit - Benchmarking and Claims Studies
Victor
Made with FlippingBook Publishing Software