What is professional indemnity insurance?
Professional indemnity insurance is designed to protect your business in the event that a client suffers financial losses as a result of the work you do for them. Your clients rely on your professional expertise. If something went wrong causing them to lose money, you may be liable to pay them compensation. Professional indemnity insurance can offer protection against these eventualities, and give you peace of mind knowing that should something unexpected happen, you’re covered.
What does professional indemnity insurance cover?
Professional indemnity insurance is tailored for professionals who provide advice, services or handle client’s data or intellectual property. Essentially, it covers your professional liability should something go wrong with the work that you do. As careful as you may be, mistakes can be made that can have a significant financial impact on your client. Professional indemnity insurance is typically designed to offer protection against these eventualities.
Do I need professional indemnity?
Some regulatory bodies require professional indemnity insurance to be in place in order for you to trade in that capacity. For instance, doctors and legal professionals are legally required by their regulators to have certain levels of professional indemnity insurance in place. While you may not be required to have this in place, you may wish to consider this cover for your business if you are doing any design work, providing a service or advice, or handling intellectual property or third party data on behalf of your clients.
Professional indemnity cover to suit your business
Professional indemnity insurance can be arranged as a standalone policy in addition to your business insurance policy.