Interstate engineering work does not necessarily require a new Professional Indemnity policy, but it can change registration and disclosure requirements.
However, the change can still be relevant to the insurer.
The business should consider:
- whether the engineering activities remain the same
- project types and values
- new contractual requirements
- engineer registration requirements
- any state-specific PI requirements
- whether the expansion materially changes the firm’s overall exposure
For many engineering firms, normal interstate work can be accommodated within an existing Australian PI policy.
The more important issue is whether the new work changes the nature or scale of the risk.
Registration requirements should also be considered separately from the insurance policy.
An engineer may have adequate PI cover but still need registration or another approval before providing particular services in another jurisdiction.
