Professional indemnity insurance
Most professionals that are in the business of selling their knowledge or skills take out professional indemnity insurance to protect themselves against claims for “business injury”. Here’s what you need to know about professional indemnity insurance.
What is professional indemnity insurance?
Professional indemnity insurance protects people in various lines of work from accountants to journalists to IT professionals. In fact, while all lawyers, accountants and financial advisors have to have professional indemnity insurance, anyone who sells their knowledge or skills can benefit from taking out professional indemnity insurance.
Professional indemnity insurance covers you and your business against claims made by any client who has suffered a financial loss as a result of using your services.
Claims can arise from a number of issues including negligence, error or omission, loss of data or documents or breach of confidentiality, and any legal costs relating to the compensation claim will also be covered by your professional indemnity insurance.
Having professional indemnity insurance will give your clients more confidence in your business, and protect you against any unforeseen compensation claims.
Having professional indemnity insurance will give your clients more confidence in your business, and protect you against any unforeseen compensation claims.
Make sure you’re properly covered
An important thing to know about professional indemnity insurance is that you need to be covered both when the service is provided and when any claim is made.
It can take some time for claims to be made so if you’re going to close your business or retire you will need to make sure that any claims made after you have cancelled your professional indemnity insurance policy will still be covered.
The same applies if you’re planning to switch your insurer, so either arrange “run-off” cover for a period of time afterwards, or get an agreement from your latest insurer that your new professional indemnity insurance policy will cover any previous mistakes.
How uSwitch for business can help
Let uSwitch for business do all the hard work for you. We’ll compare business insurance on your behalf to save your business time and money and we’ll work out exactly what you need – even taking care of all the paperwork.