If you are in a profession giving advice or providing a service of any kind, such as advertising agencies, or consulting services, it is a must to have Professional Indemnity in the event of a breach of professional duty or negligence. The policy plays an essential role in cases where a customer or client claims your advice or services caused harm, Financial loss or injury - it may subject you to substantial legal costs. The premiums for Professional Indemnity Insurance in our market today are quite volatile, and it is extremely important to read and understand the conditions, exclusions and endorsements that form a part of your policy. Do not try to do this cover on your own seek the guidance of a professional Broker.
Why do you need professional indemnity insurance?Professional Indemnity Insurance provides cover for lawful costs and expenses sustained in your defence, including any harm or costs that may be granted. Many corporations demand professionals to purchase industry-specific professional indemnity insurance because things could still go wrong in spite of your best efforts.
Here are some habitual mistakes and breaches of contract that generally result in liabilities:
- A graphic designer creating similar content to a copyrighted design, resulting in lawful proceedings;
- Incorrectly auditing a client's account;
- A personal trainer offering advice to a client, resulting in an injury to the client;
- Accidental omissions;
- Supplying poor advice.