Professional Indemnity

Without professional indemnity companies and individual professionals expose themselves and run the risk of being sued for all sorts of claims.

Professional Indemnity Insurance is compulsory for most professional businesses and services, these include the traditional professions such as business consultants, engineers,architects, insurance brokers, solicitors, independent financial advisers, accountants, computer consultants.

Professional indemnity insurance will provide protection for your business's interests against claims for error, omissions, professional neglect for both the principles and employees of the business.

There are experts/insurance brokers who can advice you professionally and they know that Professional Indemnity cover is essential for any business and that it will help to defend you against claims of loss of client data, documentation or negligence.

A professional indemnity policy may cover you for areas such as libel and slander, professional neglect, malicious falsehood, passing off copyrights, breach of confidentiality, and negligent statement or actions.

In business, mistakes are likely to happen. Errors can lead to a mountain of legal fees and compensation fees if someone such as a client suffers a financial loss. Get in touch for us to refer you to an expert.

Premium Computation

The premium for a PI policy is typically calculated as a percentage of the firm's fee income or annual turnover, with rates ranging from 0.25% to 5% subject to change.

How is the Premium Calculated?

The premium is usually calculated based on a percentage of the firm's fee income or annual turnover.
Factors influencing the premium include the type of profession, the size of the firm, and the level of risk involved in the work.
Example: A practice with a 3-year average revenue of $200,000 and a premium rate of 4% would have a premium of $8,000.

Tags: professional indemnity