PROFESSIONAL INDEMNITY

Professional Indemnity protects businesses that give professional services or provide professional advice against claims of financial loss, injury or damage caused due to the advice provided. Professionals like accountants, marketing agencies, IT specialists and fitness instructors need professional indemnity.

To understand it in simple terms, Consider the following examples of common breaches of duty and professional errors:

• When a graphic designer intentionally/unintentionally creates a copyrighted design may lead to legal action.

• An accountant performing an improper audit of a customer's account, resulting in a penalty and financial loss for the client.

• Due to an unintentional omission in the provision of professional guidance, a vital deadline was missed.

Professional Indemnity insurance protects your company financially in the event that a claim is brought against you or your company. This cover can protect you from things like legal fees and the potential impact on your company's reputation. It's an investment in the long-term viability of your professional business, which is something that all business owners strive for.

What does professional indemnity insurance cover?

Professional indemnity insurance protects your company from claims originating from (alleged or actual) negligent acts or omissions made while delivering professional services and advice. Compensation, legal fees, and investigation charges are all covered under your policy.

Typically, professional indemnity insurance can financially cover:

Accounting and audit fees

Breach of duty allegations, including breaches of confidentiality and fiduciary obligation, as well as professional duties that have been neglected.

Damages caused by employees' dishonesty and negligence.

Breach of fair-trading laws and violations of trade practices.

Defamation claims originating from professional advice or services.

Public relations expenses help you to protect your business reputation.

Professional indemnity insurance exclusions:

Exclusions should be understood by all professions so that they know what they aren't insured for. Typically, insurance policies do not cover claims resulting from the following:

Illegal activity.

Any asbestos-related claim.

Intentional damage is defined as any act, error, or omission by an insured professional that causes loss, injury, or damage to a third party with the intent or ability to reasonably anticipate such loss, injury, or damage.

Damages for exceptional and punitive purposes.

Employee injuries sustained while working or performing the duties of your business.

Public liability claims.

How much does Professional Indemnity insurance cost?

Exclusions should be understood by all professions so that they know what they aren't insured for. Typically, insurance policies do not cover claims resulting from the following:

Some professions, such as real estate agents and accountants, are required by law to have a specified amount of Professional Indemnity insurance coverage. Other professionals may be required to carry a certain level of Professional Indemnity insurance as part of a contract.

It's critical to have the correct level of Professional Indemnity insurance to safeguard your business' money and reputation, regardless of what industry you're in or how big your company is, we can assist you in determining how much it will cost.