Please help me with Insurance 1

[Bhotar3]

I have recently begun to pick up side jobs, and would like to finally create my own business. I am a Civil PE, and have only done a few projects so far that have mostly involved low risk work. Pre/Post drainage calcs/ Pond sizing/ Impact studies, etc.

I was recently contacted to do a structural inspection of a beam to determine whether or not the beam in question could be repaired or needed to be replaced. The inspection is complete, and I will be developing a report that includes my findings and recommendation (it will be a replace in kind). Currently, I am not designing anything, calculating anything, etc. Simply giving a recommendation of replacement. However, I feel the next step once I submit my report will be to develop a solution, which becomes much more complex.

Here is what I would like to get more information on. I am currently uninsured, and my LLC is "in progress". All I know currently is that I need to get insured ASAP before I get into any designing of the structure in question.

If I create an LLC (in Louisiana) does it provide any protection against me personally? Do I need to carry E&O or Liability for the LLC AND me personally? Either or?

What should my path forward be? I've search the forums pretty extensively, but there isn't anything very current.

Thanks in Advance!!

 

[JAE]

Probably need to check at Lawyers-Tips.com.

Just kidding - but I think an attorney would be the best step here. There also should be insurance groups in your area that specialize in professional liability insurance.

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[jgailla]

It is my understanding that LLCs in the US do not protect engineers as PEs can be personally sued, so the lawyers would go after your LLC and you personally. It is the same with doctors. I am not aware of any other type of work in which an LLC will not protect your assets.

 

[IRstuff]

You need E&O insurance, regardless; a single suit could financially wipe out anything you own.

TTFN (ta ta for now)
I can do absolutely anything. I'm an expert!

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[Ron]

Agree you need insurance. It is a cost of doing business.

Also, I believe Louisiana is a discipline licensed state which means a general civil PE is not authorized to do structural analysis/design unless appropriately licensed. Check with the state board. I was licensed in Louisiana for about 10 years and did structural engineering. During the time I was licensed there, I believe they instituted that requirement.

 

[kmart30]

1. Get insurance, dont think twice, like Ron said its the cost of doing business.
2. Make yourself and employee and pay yourself a salary(even if its peanuts to begin with).
3. Make sure you keep everything personal separated from your business (bank accounts, taxes, day to day spending ect.)
4. If you have any assets personally that someone can take buy a personal umbrella policy.
5. I am not a lawyer or accountant; pay someone who is. Another important cost of doing business.