Errors and Omissions Insurance

Dear Management Doctor:

Is errors and omission insurance normally required for planning studies, and how much does it cost?

Concerned City Planner

Dear Concerned:

In our consulting practice, we used to always request that errors and omissions insurance be waived, and it usually was. However, I see this clause today in most RFPs. We got tired of fighting it and now carry the insurance. The national firms that specialize in planning type firms are quite reasonable, i.e. $1,500 to $5,000 depending on your location and size of consulting practice. It's only money.

The Management Doctor