Without professional indemnity cover in place, you’d have to defend any allegations of mistakes out of your own finances – which is why it’s typically regarded as essential business insurance.
Everyone strives to provide their clients with the best service possible, but if things go wrong, it pays to be properly insured. Our specialist professional indemnity insurance has been designed from over 25 years experience insuring contractors, consultants and self-employed professionals to provide you with comprehensive protection against claims – so if a piece of work for a client doesn’t go to plan, you’ll have the peace of mind that you’re covered by an industry expert.
What is professional indemnity insurance?
Professional indemnity insurance (also known as PI insurance or professional liability insurance) is designed to protect you if you make a mistake in a piece of work for a client that causes them a financial loss. Examples include providing incorrect advice, sub-standard services or incorrect designs.
These mistakes can cost clients time and money, and they may choose to take legal action against you to recover their costs. Professional indemnity insurance pays the legal costs in defending you, as well as any compensation payments that may be due to your client as a result of your mistake.
It’s worth bearing in mind that even if you’ve done nothing wrong and a client makes an unfounded or spurious claim against you, it can cost significant sums of money to defend yourself. Professional indemnity insurance can cover you against such scenarios.
What’s covered by professional indemnity insurance?
Our professional indemnity insurance covers your legal costs and expenses in defending a claim, and any compensation or costs that may subsequently be awarded, following:
Professional negligence – such as making a mistake in a piece of work for a client or giving them poor advice- Unintentional breach of confidentiality – such as sharing sensitive client information without permission
- Unintentional breach of copyright – such as using an image on your website without permission
- Defamation and libel – such as making false comments about a competitor or client that damages their reputation
- Loss of documents or data
- Loss of money or goods (for which you are responsible)
- Do I need professional indemnity insurance cover?
- Professional indemnity insurance should be given serious consideration if you provide advice, designs or any other professional service to your clients. This includes a wide range of occupations such as:
- Business and management consultants
- IT contractors and consultants
- Technical and engineering contractors and architects
- Creative and marketing professionals,including web designers, graphic designers, marketing consultants and photographers/videographers design engineers
- Teachers, tutors, instructors and trainers
- Accountants, surveyors, architects and more
- Without it, you could be liable for thousands of pounds worth of legal fees and compensation payments payable to your client if you are found to have been negligent in your services to them.
