Professional Indemnity

When should you take professional indemnity insurance?

Professionals often fail to bear in mind that there can often be a long delay between an event and a subsequent claim and that they need to be covered both at the time of the event and at when the claim is made. This ignorance leaves much claims unprotected and many dissatisfied professionals. Professionals need to arrange for run off cover for a period of time afterwards in case they plan to cancel their your policy when they close their business or retire. Moreover, professionals also need to arrange a run-off cover or get agreement from their new insurer to accept new claims for prior incidents if they plan to change insurers.

Documentation is the key to successful professional indemnity insurance. Documentation minimises any claims as you professionals do have records of whatever they have done and also figure out what went wrong. Hence, professionals, at every point of time, should ensure that they document everything in specific beforehand.

Professional indemnity is a common term in the United Kingdom and a number of organizations offer professional indemnity insurance to freelance consultants and professionals. However, the onus is on choosing a suitably experienced insurance broker, who has the experience and hence the capability to foresee things and accordingly protect.