Professional indemnity without registration being mandatory can still be necessary because engineers remain exposed to claims arising from their professional services.
Registration requirements and insurance requirements are separate issues.
PI Insurance may still be required because of:
- client contracts
- principal or consultant agreements
- professional association requirements
- project-specific insurance clauses
- employer or tender requirements
- prudent risk management
Engineers can also face claims arising from design, advice, certification, documentation or other professional services regardless of whether a registration statute applies to that work.
The absence of a registration requirement therefore does not mean there is no professional liability exposure.
The appropriate PI arrangement should reflect the engineer’s actual activities, project types, project values, contractual responsibilities and historical work.
Where a statutory scheme does apply, its insurance requirements should be checked separately from the commercial PI limit and policy structure appropriate to the business.
