Should you have to defend a claim made against you when your advice or service fails to meet a client’s expectations, Professional Indemnity Insurance cover is there to take care of your legal costs and expenses in defending the claim, as well as providing cover for any compensation required to right mistakes.
In all walks of professional life, mistakes happen. No matter how careful you are, there is always the possibility that an error could occur and end up costing you. The results of this can have a devastating impact on your firm's finances if you’re not covered.
With Professional Indemnity Insurance, you can protect yourself against potential claims for:
- Injury – to anyone on site, such as your employees, contractors, clients, suppliers, or visitors.
- Damage – that you may have caused to property, goods and materials, machinery, tools, and vehicles.
- Negligence– mistakes or errors made by you or your employees when supplying services or giving advice.
- Breach of duty - failure to complete work that is of an appropriately high standard.
- Financial Loss – that has been caused due to your negligence, advice or services.
- Loss of data or documents – belonging to a client.
- Defamation – making claims about a person and/or business, that could damage their reputation.
- Breach of confidentiality – sharing sensitive information without consent.
- Providing incorrect information – a casual comment in passing can count as advice and potentially be held against you.
“Any builder who is providing design work, even if they do not go on to carry out the construction work, should have some form of professional negligence insurance. Even when they do not provide any designs, all builders in the course of their work or even whilst in the process of quoting for work, give advice or information to their clients. If any of that advice or information or failure to provide the correct advice and information is wrong or incorrect, this may leave a builder open to a claim for negligence. Even if the claim has no merit they still need to be defended and even when the builder is successful in that defence, the unrecoverable costs can be substantial”.
Peter Matson, Chairman of FMB Insurance