Insurance provides cover from a range of potential threats, such as claims for alleged negligence or breach of duty arising from an act, error or omission in the performance of professional services.
Why do I need professional Indemnity insurance? If your profession provides any advice, writes reports or services in a capacity as a consultant, engineer, inspector, IT professional or similar professional indemnity insurance is a must. There are occasions where the professional may unintentionally omit information, breach privacy or confidentiality or provide the wrong advice to clients which may result in a financial loss that you are held liable for.
Professional Indemnity protects you against significant exposure to costs associated with the claim including the financial loss, legal defence and investigation costs. Typically, an excess is payable by you at the time a claim is lodged with the insurer.
Both professional indemnity and public liability are designed to protect your business. They key difference is that public liability will not cover the costs arising from professional services or advice provided by you.