Australian Architectural practices contemplating expanding their operations overseas could find themselves exposed to serious compliance breaches should they not have the correct insurance cover in place.
When a practice expands overseas, it is quite likely that they may require various forms of insurance cover including Liability, Professional Indemnity and Property in order to comply with a country’s regulations. Depending on the country in question, sourcing cover from local insurers may be difficult. Some countries are now legislating compliance for Professional Indemnity and Directors & Officers.
A number of insureds may be unaware that through the Architects Facility with Vero, the underwriter Focus Underwriting can now source insurance for architects overseas operations.
Vero partners with the RSA Global Network, one of the world’s leading multinational insurance groups, allowing access to place insurance cover overseas with the network’s strategic partners in over 130 countries. This type of insurance cover is referred to as a ‘fronting’ policy or local policy. A ‘fronting’ policy is typically arranged in one country to insure exposures in other countries. A local policy is issued from an insurer who is licensed to do business in that country.
Focus Underwriting can access, on your behalf, a real-time portal to keep track of the latest covers available and the regulatory requirements for all jurisdictions within the network. This service is very helpful when an Architect has activities in multiple countries, easing the need to manage a potentially complex portfolio of insurance covers with a range of different foreign insurers.
Our advice is to always discuss your overseas activities with your Account Manager to ensure you have the appropriate cover.
Underwriter – Focus Underwriting Agency