Professional Indemnity Insurance

Professional Indemnity

Sometimes

mistakes happen

Sometimes mistakes happen

Remove the uncertainty

Regardless of your level of experience, mistakes can happen. You may unintentionally breach privacy, make an error of judgement or provide incorrect advice. Any allegation of negligence or instance of professional malpractice, can result in significant financial penalties and reputational damage.

Regardless of your level of experience, mistakes can happen. You may unintentionally breach privacy, make an error of judgement or provide incorrect advice. Any allegation of negligence or instance of professional malpractice, can result in significant financial penalties and reputational damage.

Remove the uncertainty

What is Professional Indemnity insurance?

Professional Indemnity Insurance protects your business from the legal costs and claims for liabilities associated with allegations of negligence, professional misconduct, breach of duty or incorrect advice that you provide to a third party.

If your business is found liable for negligence, the costs can be financially devastating. Not only can it lead to an expensive lawsuit, but your business’ hard-earned reputation may be damaged as a result.

That’s why professional indemnity insurance matters – for help protecting your assets and brand if your advice causes a client to take legal action against you.

Who should consider it?

Professional indemnity insurance is mandatory in some industries, such as medicine, accounting, law and financial advisers – with the requirements differing from state to state.

But even in cases where it’s not required by law, it’s recommended for anyone who is providing professional services or advice in exchange for a fee – like, graphic designers, IT consultants and more. Regardless of your legal obligation, it’s often a customer requirement that you have this cover in place.

Not all policies are the same.  Exclusions, the excess you need to pay and limits of liability can vary greatly depending on your insurer. That’s why our our specialist broking team members get to know your business enabling them to provide considered advice delivering you the best policy for your specific needs.

Touch base with us to learn how we can help you.

HDL, the right partner for you.

Did you know?

27.7%

In 2014 alone, professional indemnity and public and product liability claims increased 27.7%.

(Insurancenews.com.au ‘Claims up, premium down for PI and PL’, 2015)

$1,362m

$1,362 million of gross premium during the 2016 underwriting year.

(APRA, National Claims Policy Database, 2017)

701,000

701,000 PI risks written in the 2016 underwriting year.

(APRA, National Claims Policy Database, 2017)

What can it cover?

As a wide-ranging insurance solution, professional indemnity cover may include anything from accidents to errors and omissions. Depending on your policy, professional indemnity insurance can cover:

Type of cover Potential benefits
Civil Liability
Civil liability to a third party arising out of the conduct of their professional business
Inquiry costs
The cost of defending an inquiry by a regulatory body into the professional conduct of the insured.
Defence costs
The costs involved in defending a claim triggered by the policy.
Fidelity cover
Direct financial loss of the business caused by the dishonest or fraudulent conduct of an employee which is first discovered during the period of insurance.
Advancement of costs and expenses
Additional costs and expenses incurred during a claim.

Case study

Michael is an engineer who designs the supporting foundations of a residential property. He makes an error with the site calculations, which leads to the slab cracking and damage to the property of the owner. His company is liable for this loss, which could be anywhere between $150,000 up to the full value of the house.

But because Michael has professional indemnity insurance, he’s covered for this amount – as well as any legal expenses if the matter goes to court.

Complimentary Review

Complimentary Review

Securing optimal insurance protection is becoming more challenging.

Having a fresh set of eyes can make a dramatic difference.  HDL welcomes the opportunity to evaluate and challenge your current risk and insurance program in a confidential manner that avoids disrupting existing relationships.

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Over 150 Insurers across the globe.

Our Global Insurance Network

Over 150 Insurers across the globe.