08 October 2014

Engineering Professionals Face Growing Complexity of Risks and Liability

Submitted by: MyPressportal Team

Collection of Case Studies on Professional Liability Claims against Consulting Engineers

A joint collaboration by Aon South Africa Professional Risks Division and Consulting Engineers South Africa (CESA) has delivered an annual, comprehensive report profiling a collection of case studies on professional liability claims against consulting engineers in South Africa.  The collection of case studies provides invaluable insights into the scope, severity and magnitude of risks faced by consulting engineers in a practical and easily understood format. 

This is according to Malcolm Padayachee, Manager of Professional Risks at Aon South Africa, a leading risk consultancy and insurance brokerage. 

“The risks that engineering professionals are exposed to are complex, and in many instances understanding and getting a handle on these risks is massively challenging, as they often arise out of complex interdependencies which may not be immediately visible.  These case studies provide an invaluable tool to study and further explore the potential risks faced by professional companies in this sector with real-life accounts and scenarios providing lessons to be learned,” explains Malcolm.

The case study collection covers various claims and actual case studies from CESA members covering cancellation of contracts, faulty design, the value of limitation on liability clauses and negative payment certificates among others.  Another crucial topic for professionals is that of legal risk management, ensuring that professional services organisations and individuals fully understand their potential exposure to legal liability. 

“Threats provide opportunities for growth in that the best-prepared companies will be the ones that better manage their vulnerabilities and thus can withstand a greater range of threats; that can recover more quickly and can return to commercial activities sooner than their competitors.  This case study book provides practical insights that allow for proper planning and pre-empting of the range of threats faced by engineers that could lead to a PI claim,” concludes Malcolm.

Aon is the leading PI broker in South Africa with its broking and risk transfer services supplemented by administration of schemes for many of the country’s leading professional bodies, including Consulting Engineers South Africa (CESA) and the Attorneys Insurance Indemnity Fund (AIIF). Aon services from small to large professional services organisations including individual professional practitioners.

For a copy of the case study collection, contact Malcolm Padayachee at Aon on (011) 944 7897 or e-mail This email address is being protected from spambots. You need JavaScript enabled to view it.