What Naval Architects Should Consider When Faced With Steep Insurance Requirements

Author – Chris Engstrom of Hall & Company

It’s not uncommon for a municipality, shipyard or project owner to generate a contract with insurance requirements that are appropriate for vessel construction and repair, but not appropriate for the professional services rendered by a Naval Architect.   These contracts often include language around liability arising out of workmanship errors which is not the responsibility of a design firm.  Such contracts also typically include insurance requirements and high limits of liability that are common for builders but not design firms.  It is very important to ensure that the contracts you enter into are appropriate for Naval Architect services,   and further caution is recommended to avoid problematic provisions that may not be insurable. READ MORE