Common use of Professional Liability or Errors and Omissions Insurance Clause in Contracts

Professional Liability or Errors and Omissions Insurance. (a) Consultant and its Subconsultants shall carry Professional Liability or Errors and Omissions coverage, including prior acts coverage sufficient to cover the Services, the limits of which shall not be less than $2,000,000 per claim/$2,000,000 aggregate, or its standard limit carried, whichever is higher, with a deductible or self-insured retention amount not greater than $50,000. Such insurance shall include prior acts coverage sufficient to cover the Services and Contractual Liability to cover liability assumed under this Agreement, to the extent insurable under such Professional Liability Insurance. The insurance shall maintained during the term of this Agreement and for a period of ten (10) years after completion of the Services with the limits set forth in this paragraph at no additional cost to Owner. The policy shall contain no exclusion for attached, residential or condominium projects. (b) Consultant and Subconsultants are required to provide evidence to Owner that the policy(ies) has no impairment on the aggregate limits before any services are performed. Consultant and Subconsultants shall bear all costs to maintain the policies. (c) Consultant and Subconsultants are required to provide evidence a copy of the claims reporting requirements to Owner for review.