ProfesProfessional indemnity insurance is something that business owners should have, but do not get this confused with Combined Liability Cover. These are two separate things, and in this article, we are going to be looking at what exactly this is, how you can go about getting it for your business, and who should be looking to add it to their business.
What Is Professional Indemnity Insurance?
Something that you should know is that may not be a legal requirement for your business to have. You are not required to have this protection if you don’t want it unless you are either a solicitor accountant or insurance broker (Professional Indemnity insurance is compulsory for these professions). However, that doesn’t mean it’s not a good idea to take this extra step. There will, however, be some exceptions where this will be a requirement, so make sure that you check this out when you are looking at what kind of insurance you are going to need.
This type of insurance covers you in the case of claims and legal action taken against you for negligence or a mistake that your company has made. Claims like this could end up costing your business a fortune which you might not be able to afford. Protecting yourself against this is one of the best things you can do if you want to keep your business safe. Loss of data or documents, breaching confidential information or sensitive information, breach of duty, and so on are all reasons that you could end up facing this type of legal action.
How Do You Get It?
To get this type of cover, you are going to need to speak to a commercial insurance broker. They will know exactly what type of cover you need, and they will work with you to get the best price for the best policy possible. Insurance brokers work hard to make sure that your business is safe from threats by getting you all the protection that you need. Ultimately, it is going to be up to you whether or not you want the cover they are offering, but as the experts, it’s highly recommended that you listen to what they are saying.
Who Needs It?
Any business that provides a direct service or advice should have this type of insurance. It’s important to understand that this doesn’t have to be your employees working directly with customers, anyone who is working on your behalf is included as well. So, if you have a team of contractors and something happens, then you are going to be responsible for the costs if action is taken against you, and you don’t have professional indemnity insurance.
The good thing about this type of insurance is that it covers mistakes. Companies don’t like to make mistakes and do everything possible to avoid this, but it is going to happen sooner or later. Making sure that you’re covered when it does is going to be beneficial to your business.
Hopefully, now you know what you need to about professional indemnity insurance. Consider it, and speak to Boothby Taylor if you think it might be something that you are interested in.sional IProfessional Indemnity InsuranceProfessional Indemnity Insuranc
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