Coverage Clash
A client trips over a sample board during an install, which coverage applies?
What is CGL?
A subcontractor’s poor installation ruins a wall finish, who’s responsible?
Who is the designer? (P.S. depends on contract)
Home insurance usually covers studio equipment for business use.
What is a myth?
Which question uncovers exposure to third-party liability?
What is do you subcontract trades or vendors?
Client changes their mind mid-project and refuses payment, claim or no claim?
What is no claim? (Since its a contract dispute)
A designer’s laptop with project files is stolen from their car, which coverage applies?
What is Commercial Property coverage (off premises or equipment floater)?
A client provides all materials, but they arrive defective. Who bears the loss?
Who is the client? (Although the designer may still suffer reputation loss)
E&O policies automatically cover all subcontracted design work.
What is a myth? (Unless the policy or contract explicitly extends coverage)
Which question identifies property exposure?
What is do you store samples, materials, or furniture in your workspace?
A designer accidentally knocks over a client’s sculpture while staging — claim or no claim?
What is a claim? (Under CGL for property damage)
A designer damages a client’s antique furniture while moving décor — which exclusion might limit payment?
What is care, custody, or control (CCC) exclusion?
A client’s contractor causes damage, how would liability shift?
What is client liability? (Designer may face E&O exposure if supervision was implied)
Occurrence-based and claims-made policies respond the same way.
What is a myth? (Claims-made depends on policy term and retro date)
Which question would help identify E&O exposure?
What is how do you handle design approvals and client sign-offs?
Designer misses a deadline, and client claims lost income, claim or no claim?
What is it depends? (Likely no unless loss directly stems from a covered professional error)
A client sues over incorrect material recommendations that caused costly replacements, which policy responds?
What is Errors & Omissions (E&O) / Professional Liability?
A designer’s intern orders the wrong lighting fixtures. Who’s liable?
Who is the designer? (Since employees and interns fall under the insured’s professional scope)
Professional advice given “off the record” can’t trigger a claim.
What is a myth? (Verbal or informal advice can still cause an E&O claim)
Which question exposes potential cyber risk?
What is do you store or share client data, files, or images online?
A client hates the final color scheme and demands a refund, claim or no claim?
What is no claim? (Since it’s subjective dissatisfaction)
A vendor injury claim could trigger either CGL or E&O. Which coverage responds first and why?
What is CGL first, since it responds to bodily injury? (Unless the injury stems from professional negligence, in which case E&O applies?)
A miscommunication between trades delays an entire project. How many coverages could come into play and which ones?
What is E&O for design error, CGL for third-party property damage, potential business interruption?
Subcontractor certificates automatically transfer coverage to designers.
What is a myth? (They need an additional insured endorsement)
A designer says ‘I don’t use contracts.’ What’s your follow up?
What is ask how they define scope and recommend documenting approvals to prevent disputes?
Designer reuses copyrighted design images in marketing and receives a cease and desist, claim or no claim?
What is a claim? (Possible under media or advertising injury endorsement)