Focus On Electrical Engineering Claims

Electrical engineers providing design services for schools are among the most likely among their profession to be shocked with claims for errors and omissions. XL Design Professional insured electrical engineers generated only 5% of their fees from grade schools (through grade 12), yet these schools generated 14% of claims and expended 14% of claims dollars paid on their behalf by XL Design Professionals. Colleges and universities faired a little better, generating only 4% of fees for electricals, but accounting for 9% of claims and 5% of claims dollars.

By comparison, commercial/industrial projects were much less risky. While XL Design Professional-insured electricals generated 22% of their fees from these projects, commercial/industrial work resulted in only 15% of claims and 7% of claims dollars.

Another revealing finding was the relatively high cost of construction bodily injury claims against electricals compared to other design professionals. A full 21% of damages paid by XL Design Professionals on behalf of electrical engineers was for bodily injury-construction. Compare that to 3% for architects, 4% for civil engineers, 5% for structurals and 1% for mechanical engineers.

Other findings:

Owners/clients file the most claims against electrical engineers, but contractor/sub and third party claims are generally more expensive to resolve. Owner/clients file 54% of claims against electricals; contractors/subs, 24%; third parties, 18%. By claims dollars its owner/clients, 41%; contractors/subs, 34%; third parties, 24%.

Not surprisingly, electrical problems are the element most often involved in claims against electrical engineers, leading to 52% of claims and consuming 68% of claims dollars. Other leading causes of claims are lighting (14% of claims, 9% of dollars), construction administration (6% of both claims and dollars) and code compliance (5% of claims, 8% of dollars).