Certain registered practitioners to determine adequate coverage of policy
77 Certain registered practitioners to determine adequate coverage of policy
A professional indemnity policy must, in the reasonable opinion of a registered design practitioner, registered principal design practitioner or registered professional engineer, provide for an adequate level of indemnity for the liability that could be incurred by the practitioner or professional engineer in the course of their work.
In determining whether a policy provides for an adequate level of indemnity, the registered design practitioner, registered principal design practitioner or registered professional engineer must take into account the following matters—
the nature and risks associated with the work typically carried out by the practitioner or professional engineer,
the volume of the work typically carried out by the practitioner or professional engineer,
the length of time that the practitioner or professional engineer has been registered,
a reasonable estimate of claims that could be brought against the practitioner or professional engineer on the basis of paragraphs (a)–(c),
the financial capacity of the practitioner or professional engineer,
any limits, exceptions, exclusions, terms or conditions of the policy, but only if the matters are not inconsistent with the requirements of this Part.
This clause does not limit the operation of Divisions 2 or 3 of this Part.
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