Talk to me about A&E

In this Talk to Me About A&E podcast, Dan is joined by Mark Blankenship, Director of Risk Management for WTW A&E for this discussion on risk identification and evaluation.  This is the first in a four-part series on the four cornerstones of managing design professional risk and addresses important “go no-go” considerations and risk mitigation strategies every design firm should consider specific to client selection factors, project selection factors, project team evaluation and contracts.

In this Talk To Me About A&E podcast, we review the recently released ACEC Guidelines on the use of AI by Design Professional Firms.  Dan Buelow is joined by Mark Blankenship, Director of Risk Management for WTW A&E and co-chair of the sub committee on AI for the ACEC Risk Management Committee.  Dan and Mark discuss the inherent risks of AI when it comes to the design profession and important guidelines firms can adopt in managing this evolving technology – specifically: Governance and Approval Process; Sources and Tools and Guidelines for Practice.

In Part II of this series on the standard of care, Dan continues his discussion with Colleen Palmer and Lou Gale by reviewing specific examples of where contract language can elevate the standard of care – and advice on how to negotiate this language out of a design professional's agreement to ensure a balanced – and insurable agreement.  We also discuss how the standard of care is evolving and what design firms should be prepared for to mitigate their risk.  

In Episode 36 of "Talk to Me About A&E," Dan is joined by Colleen Palmer, Risk Manager for Beazley, and Lou Gale, GC for the architectural firm SCB, on the Standard of Care.  In Part I of this two-part series we begin the first question asked when a design professional is accused of negligence: What was the applicable standard of care - and was it met?   This discussion will include an overview of what every design professional should know when it comes to the standard of care, as well as how best to educate their clients and manage expectations through effective communication and documentation practices.  

In episode #35 of Talk To Me About A&E Dan Buelow talks to attorney Jeff Coleman from the Minneapolis law firm Coleman & Ericksen, LLC  about the professional liability risks associated with residential projects.  Residential Projects are considered one of the riskiest project types for design professionals when it comes to professional liability claims.  Dan and Jeff review the specific reasons why residential projects are so risky – especially condominium projects – and what proactive measures firms can take to mitigate their exposures to costly claims and client disputes.

In Episode 34 of "Talk to Me About A&E," Dan Buelow brings back Dale Munhall for a follow up discussion on their two part CA series, “Why we no longer stamp shop drawings”.  In this episode Dale reviews his “Seven Deadly Words” and discusses the importance of avoiding specific words in contract documents that imply unauthorized changes by architects and engineers. The CA process is often vague and misunderstood and words can create significant liabilities and misunderstandings in contract administration.  Dan and Dale discuss the importance of effective communication and documentation in order to maintain the integrity of the original contract terms.

Whether you are buying, selling, merging, acquiring or closing your practice, there are some important considerations for the design professional when it comes addressing your Professional Liability risks and prior acts exposures. Dan Buelow is joined by Doug Hamilton, head of underwriting for Allied World's A&E division to discuss the pros and cons of the specific insurance coverage options every firm should consider.

In Part II of this podcast series on What's Your Liability IQ? Dan Buelow continues his discussion with two former DPIC claim managers, Laura Gualiardo, Managing Director of Design Professional Liability Claims for Travelers, and Mark Blankenship, Director of Risk Management for WTW A&E.  Dan, Laura and Mark review a number of questions from the DPIC Liability IQ and discuss current trends on a wide range of issues challenging design professionals including risks specific to stamping drawings, defining and managing scope and client expectations, documentation, contract formation, limiting liability, etc.  A fun listen for all levels of staff.   

For this podcast, Dan Buelow has a lively discussion on the DPIC liability IQ with some former DPIC claim managers, Laura Gualiardo, Managing Director of Design Professional Liability Claims for Travelers and Mark Blankenship, Director of Risk Management for WTW A&E. The DPIC liability IQ test was based on DPIC's Lessons in professional liability written over 25 years ago. Dan's discussion with Laura and Mark offers some keen insights into a wide range of critical risk management issues still facing architects and engineers today.

In this lively podcast discussion, Dan Buelow addresses four specific emerging contract issues design professionals face: withholding of fees, retaining ownership of documents, informed consent and getting named as an additional insured on the general contractor's general liability policy. Dan is joined by Lou Gale, General Counsel for the Chicago based architecture firm, SCB and Mark Blankenship, Director of Risk Management for WTW Architects and Engineers. 

Dan Buelow continues his discussion on professional liability (PL) claims with Anthony Carolei, Director of Risk Management for Professional Liability for Hanover's A&E program. PL claims are taking longer to settle and costing more to resolve. Understanding the process, including working with defense counsel, alternative dispute resolution and important coverage features and obligations in a design firm's professional liability policy is critical.

Dan Buelow continues his discussion on professional liability (PL) claims with Anthony Carolei, Director of Risk Management for Professional Liability for Hanover's A&E program. PL claims are taking longer to settle and costing more to resolve. Understanding the process, including working with defense counsel, alternative dispute resolution and important coverage features and obligations in a design firm's professional liability policy is critical.

Dan Buelow talks to Anthony Carolei about what a design firm can expect and should be prepared for when faced with a professional liability (PL) claim against their firm. Anthony, Director of Risk Management for Professional Liability for Hanover's A&E program, has considerable experience in handling complex PL claims and offers some excellent insight and advice on this process.

Dan Buelow continues his discussion with Ryan Brennan, Specific Project Professional Indemnity Lead for HDI Global Insurance Company in part II of this two-part series of insuring single projects.  In this segment Dan and Ryan review the underwriting process that goes into assessing and pricing a PSPL on large complex projects and discuss the history of this coverage, the constriction of the current PSPL marketplace as well as the future outlook for this coverage.

Dan Buelow gets into the weeds with a two-part series on insuring single projects with Ryan Brennan, Specific Project Professional Indemnity Lead for HDI Global Specialty SE. In part I, the discussion includes an overview of specific job excess (SJX) versus project specific insurance (PSPL). Dan and Ryan review the features and benefits of a PSPL from both the design professional's and owner's perspective and why this coverage is an important consideration for certain large project types.

Dan Buelow talks to Clark Davis, Partner and Principal Consultant with Cameron MacAllister, respected advisors to architecture and engineering firms. Clark and his group were recently commissioned by WTW A&E to conduct an industry wide survey of design firms across the United States about the impacts of remote/hybrid work on design and technical quality in design practice. Dan and Clark review the results of this nationwide survey from the input of over 200 design firms. 

Dan Buelow continues his discussion with Dale Muhall, Director of Construction Phase Services for LEO A DALY. Part I of this two-part podcast series on shop drawings reviewed Dale's AIA Best Practices article “Why We No Longer ‘Stamp' Shop Drawings,” and the misconceptions, risks and errors surrounding basic construction administration procedures. In part II, Dan reviews a series of questions raised by design professionals on this same topic during a recent WTW A&E webinar with Dale.

Seemingly mundane documents such as shop drawings and requests for information have been around for as long as designers have been designing and builders have been building. But costly misconceptions, risks and errors surrounding these basic construction administration procedures still abound. Dan Buelow talks to Dale Munhall, AIA, National Director of Construction Phase Services at LEO A DALY to discuss his Best Practices article “Why We No Longer ‘Stamp' Shop Drawings."

WTW A&E has seen a recent rise in claims from design professional firms related to fraudulent fund transfers and rogue employees. Dan Buelow talks to two experts concerning this disturbing trend to get some advice on what firms need to do to mitigate this significant and pervasive risk. What is the standard of care of a design firm and what can firms do to mitigate this risk? Tara Albin, Midwest Region Cyber Leader and Liz Caldwell, Cyber Claims Leader from the WTW Cyber Group help us answer this question and share some claims stories as well as very important lessons learned involving fraudulent fund transfer and rogue employees.

Dan Buelow talks to Colleen Palmer, Risk Manager for Beazley DP, on the topic of negotiating limitation of liability (LOL) clauses in design professional agreements. Some firms have had considerable success in getting LOL clauses in their agreements. Dan and Colleen discuss the benefits of this clause and the arguments and rationale as to why LOL clauses are both important and reasonable to have in every professional agreement. We review some sample wording and tips on negotiating this important clause – and compare and contrast the benefits of an LOL compared to that of a design contingency and waiver of consequential damage provisions.

Dan talks to Sue Yoakum, from Yoakum Law LLC, about the importance of establishing design contingencies. A design contingency helps establish expectations that architects and engineers' drawings and specifications will not be perfect. Whenever there is a claim against a design professional on a project, there is often the question if there has been a breach of the design professional's standard of care. When do you cross from non-negligent errors and omissions (not a breach of standard of care) to errors and omission that arise to a breach of the standard of care? Sue discusses this and how a design contingency can mitigate claims and the benefits to the project owner of having their project come in on budget and schedule – by setting aside funds for issues that can and should be expected on a custom design project. Sue also shares some suggested contract wording and reviews some important considerations when it comes to negotiating a reasonable percentage of the Cost of the Work to be used as a design contingency.

Dan talks to Charlie Woodman, Senior Director of Risk Finance & Analytics for WTW Construction, about Captives as an alternative risk transfer solution for design professionals.

Dan talks to Mark Blankenship, Director of Risk Management for WTW A&E, about the results of a recent WTW A&E industry survey of Senior Claim Managers from 12 leading A&E professional liability insurance carriers on emerging risk and claim trends in the design profession. Dan and Mark discuss the causes for the rise in severity claims against design firms, the inherent risks associated with specific project types and disciplines - and the emerging risks that are most concerning to the panel of claim experts that participated in this survey. In addition to a review of the results to a number of specific questions from this survey, Dan and Mark offer important advice and insights on what firms should be considering in order to reduce their exposures to costly claims and client disputes.

Dan talks to David Ericksen from the law firm Collins + Collins on the risks and the business challenges design firms face with evolving technology. This podcast reviews the risks associated evolving digital technology, new products and sustainability. There is no profession that has been impacted more than the design profession when it comes to technology and the incorporation of new technology into a consultant's services and the design process. How does this impact the design firm's standard of care – and what should the design professional consider when it comes to establishing and managing client expectations? Dave addresses all this and offers important advice on how firms can mitigate unreasonable performance based exposures associated with evolving technology, sustainability and even climate change - and the importance of securing informed consent from their clients.

In part II of our podcast on Communication and Documentation, Dan continues his discussion with Frank Musica, Risk Management Consultant for Victor. Dan picks up where he left off on reviewing how important words are when it comes to all the forms of documentation and phases of a project the risks associated with evolving technology. This discussion focuses on the significant risks associated with emails and important advice on document retention. This podcast will offer practical measures the design firm can take to implement effective documentations and communication practices to reduce your risk to costly claims and client disputes.

Dan talks to Frank Musica, Risk Management Consultant for Victor, in a two part series on Communication and Documentation. In part one of this series the focus is on the standard of care and the importance of documentation and effective communications in order to manage professional liability risk. Dan and Frank talk about why most claims against A&E firms are rooted in poor communications and documentation practices. This discussion includes a review of the fundamental tension between risk management and marketing, advice on the documentation and communication process in the contract formation and CA phases - and managing client expectations.

Every firm must ultimately decide if a prospective project is a “go” or a “no-go” and if they should commit valuable time and resources. Dan talks to Andy Mendelson, FAIA, Chief Risk Management Officer for Berkley DP, about the critical “Go No-Go” considerations every design firm should include when assessing a new project opportunity including project team capabilities, financial impact, contracts and client selection.

In part two of our discussion on Design-Build (DB), Dan and David Hatem, a Partner at Donovan Hatem LLP, discuss David's recent white paper release on addressing the inherent and unsustainable risks associated with DB infrastructure projects. Dan and David focus on the critical issues identified in the paper and recommendations made, including improving procurement, contractual practices and underwriting approaches in assessing the risk.

Design Build (DB) has become a real concern among professional liability insurance underwriters as we've seen an adverse development in claim trends – especially on infrastructure projects. In this episode, Dan and Val Onderka, VP of Underwriting for Ironshore's Designers & Contractors Professional Liability, discuss some of the reasons behind these claim trends – including what an underwriter is looking for when assessing and selecting a given design build project. Val and Dan also discuss “progressive design build” and changes that all parties should consider in order to reduce their exposures to claims and costly disputes.

Every design professional firm must be prepared to respond to a cyber-attack against their business. In this episode Dan and guests Alex Ricardo of Beazley and Carter Boardman from the Colorado based engineering firm Merrick discuss developing an Incident Response Plan and specific measures a firm's key stakeholders can, and should, take to mitigate costly interruptions to their business. 

In this episode, Dan and guest Bob Stanton, VP of Claims for Willis A&E continue the conversation from our previous episode, CYA with CA Part I, where Dan and Jeff Coleman focused on the role of the consultant on the job site and the standard of care when providing CA services. This episode will focus on the review of critical issues to consider when it comes to CA services and contract formation, scope of services and documentation.

Job site related claims, including delay and bodily injury claims against design professionals, is a significant risk for every design firm. Understanding the role of the design professional in Construction Administration (CA) is critical when it comes to effectively managing this risk. In this podcast Dan and guest Jeff Coleman discuss the pitfalls and opportunities design firms face when it comes to construction administration.

Architects and Engineers take on considerable risks which can vary significantly based on project types, disciplines, client types and delivery methods. In this episode, Dan sits down with Mark Blankenship, Senior Underwriter for Liberty International, to discuss the underwriting process and how insurance carriers assess, underwrite and price A&E professional liability risk. Dan and Mark lay out what you can do to “tell your story” to ensure you get the very best PL pricing and terms.

Professional liability (PL) is by far the greatest exposure – and P&C insurance spend for any design firm. In this episode, Dan has a discussion with Bob Stanton, VP of Claims for Willis A&E, on some important coverage features of an A&E PL policy that every A&E firm should be aware of in order to get the most out of this coverage – and what they bought and paid for.

Every design firm is faced with managing scope creep and the challenges of project management to control resources to meet a certain objective by a specific date within a finite budget. Dan Buelow and guest Andy Mendelson from Berkley DP engage in an interactive discussion on how to manage the change process to maintain your client relationships and your firm's profitability through the use of some invaluable risk management tips – and effective communication and documentation practices.

We are now in the “hacker era” for cyber liability and design firms are a favorite target. In this episode Dan and guest Alex Ricardo, an expert in cyber liability from Beazley's Cyber & Executive Risk Focus Group discuss this evolving risk and what A&E firms must be prepared for to mitigate their risk against a cyber attack.

In our final podcast on negotiating contracts, we take a deep dive in discussing the dreaded indemnity clause and review what every design firm needs to watch out for – and negotiate - in order to avoid taking on unreasonable and uninsurable risks.

In this third episode of our four part series on negotiating contracts, we discuss seven specific “Deal Breakers” which are Client-drafted clauses that are so burdensome and onerous the design firm must insist it be deleted from any agreement, or substantially modified, to avoid assuming significant and possibly uninsurable risk.

In this second podcast of our four part series on negotiating contracts, we discuss seven specific “Deal Makers” which are certain contract clauses that are so important to the protection of your firm that you want them included in each agreement you sign. If your client won't agree to these vital provisions, you may want to seriously consider whether to accept or decline the project.

In this first episode of our four-part series on negotiating contracts, we discuss the critical basics of negotiating professional agreements and tips on using contract formation as an important vehicle to establishing client expectations and mitigating a design firm's risk against costly claims and client disputes.