Professional Indemnity Insurance
Professional indemnity insurance protects an individual or business against claims for loss or damage by a client or third party. Claims are usually taken out against businesses or individuals who have made a mistake or are found to be negligent in the services that they have provided. PI insurance protects you against this and typically covers any associated legal costs.
In some professions personal indemnity insurance is required. This is usually part of an industries regulation and includes doctors, solicitors, accountants, financial advisors and more. Many other types of businesses choose to have this cover as it forms an extra layer of protection.
Professional indemnity insurance plans vary widely depending on your requirements and the provider you go with. Despite the various suppliers it is important to remember that PI insurance is usually made on a claims made basis. This means that the policy has to be live or active in order for you to be covered. If you are retiring or closing a business then you may need to arrange run off cover.
