Professional Indemnity Insurance
When clients rely on your expertise, protect your business if something goes wrong.
Professional Indemnity (PI) Insurance protects businesses and professionals against claims arising from errors, omissions, negligence or failure in the professional services they provide.
Professional Indemnity (PI) Insurance protects businesses and professionals against claims arising from errors, omissions, negligence or failure in the professional services they provide.
We work with leading insurers
across General, Health and Life Insurance
What can Professional Indemnity Insurance cover?
Depending on the policy selected, cover can include:
Professional Negligence
Claims alleging that an error or failure in providing professional services caused a client financial loss.
Errors & Omissions
Claims arising from mistakes, omissions or failure to perform professional services as expected.
Legal Defence Costs
Legal costs incurred in defending covered professional liability claims.
Breach of Professional Duty
Claims alleging failure to exercise the standard of professional skill or care expected from your business.
Misrepresentation
Certain claims arising from negligent statements, advice or representations made while providing professional services.
Loss of Documents or Data
Liability arising from the loss or damage of client documents, records or data may be covered depending on the policy.
Intellectual Property Rights
Certain unintentional intellectual property infringements may be covered depending on the profession and policy wording.
Employee Errors
Claims arising from professional errors or omissions committed by employees while performing services on behalf of the insured business.
What could lead to a Professional Indemnity claim?
A claim does not necessarily mean that you actually made a mistake. A client's allegation itself may require you to defend your business.
Claims can arise from:
- Incorrect professional advice
- Errors in calculations or reports
- Failure to meet agreed professional standards
- Missed deadlines causing client financial loss
- Incorrect designs or specifications
- Failure to identify an important issue
- Negligent recommendations
- Errors made by employees
- Miscommunication with a client
- Loss of confidential documents or information
- Failure to deliver contracted professional services
Who should consider Professional Indemnity Insurance?
Professional Indemnity is particularly relevant for businesses that provide advice, expertise, designs, recommendations or professional services to clients.
This can include:
- Consultants
- IT and technology companies
- Software and technology service providers
- Architects and engineers
- Accountants and financial professionals
- Lawyers and legal professionals
- Insurance intermediaries
- Real estate consultants
- Management consultants
- Recruitment companies
- Marketing and advertising agencies
- Healthcare professionals and establishments
- Other professional service providers
The actual policy required can differ considerably depending on the profession.
Why choose Professional Indemnity Insurance?
Protect against client claims
A dissatisfied client may claim that your professional service caused them financial loss.
Protect against legal costs
Even an allegation that is ultimately unsuccessful may require substantial legal expenditure to defend.
Meet contractual requirements
Large clients may require their consultants and service providers to maintain Professional Indemnity Insurance before awarding a contract.
Protect your reputation and business
Having appropriate insurance and professional claims support can help a business respond effectively when a serious allegation is made.
How much Professional Indemnity cover do you need?
There is no standard limit suitable for every professional business.
The appropriate limit should consider:
- Nature of professional services
- Annual professional fee income / turnover
- Size and type of clients
- Maximum value of individual contracts
- Potential financial loss to a client
- Contractual liability requirements
- Geographical exposure
- Overseas clients
- Industry regulations
- Previous claims
- Retroactive exposure
A consultant providing advisory services to small businesses can have a very different exposure from a technology company managing critical systems for a large financial institution.
Our corporate insurance team can help you assess these exposures before deciding the appropriate limit.
Claims-Made Cover – an important point
Professional Indemnity policies are generally written on a claims-made basis.
This means the policy in force when the claim is made or circumstance is notified is generally relevant, subject to the policy's retroactive date, continuity and other terms.
Maintaining continuous coverage and the correct retroactive date can therefore be very important.
Already have a Professional Indemnity policy?
We can review your existing policy and help you understand:
- Limit of indemnity
- Professional services definition
- Geographical and jurisdiction limits
- Retroactive date
- Claims-made provisions
- Defence costs
- Deductibles
- Major exclusions
- Contractual liability provisions
- Intellectual property extensions
- Cyber / technology-related exclusions
- Claims notification requirements
- Premium and insurer options at renewal
Share your existing policy with us and our corporate insurance team can review it.
Frequently Asked Questions
Professional Indemnity Insurance protects professionals and businesses against covered claims alleging errors, omissions, negligence or failure in the professional services they provide.
Your clients trust your expertise. Protect the business behind it.
Our corporate insurance team can help you understand your professional liability exposures and structure Professional Indemnity Insurance around the services you provide.
Coverage is subject to the terms, conditions, limits and exclusions of the policy issued by the insurer.