P
rofessional Liability / indemnity insurance is a type of insurance designed to cover legal costs and expenses your company or organisation incurs in the course of defending itself against allegations or accusations tabled against it in regards to services offered or advice given or products /designs from the company that resulted in a client losing money.
There are instances where a company needs professional liability insurance, but it is not an obligation in the UK. You need this insurance if:
- You profession includes consulting and contracting.
- You provide any form of designs for your clients. These could include the work of architects.
- You feel you need to protect work you have undertaken from allegations of mistakes or negligence.
- To fulfil a requirement from an industry or body you are in acquaintance
The following are some of the companies offering professional liability insurance in the UK;
AXA Professional Insurance-London and Dublin
Their services cover legal defence costs, daily compensation for days in court in defence, and up to £5 000 000 protection. This insurance policy will cost you £59 a year.
Simply Business Professional Insurance- London and Northampton
This covers you in case of inaccurate advice given to a client, damages to property or injuries to someone because of your business and claims by your employees for damages or injury. It also insures your business premises and tools at a cost of about £100 a year.
Market Direct Professional Indemnity Insurance- Leeds
For £7 a month, it will cover allegations of unintentional breach of copyright and confidentiality, professional negligence, loss of money, data and defamation.
Professionalindemnty.co.uk -Wedmore, Somerset
Their premiums start from £50 annually. They cover allegations of professional negligence, dishonesty and fraud, defamation, infringement of intellectual property and loss of data as well as defence fees.
Howden Professional Indemnity Insurance- Eastcheap, London
They offer insurance to various professionals like engineers, architects, solicitors and others in covering legal expenses, inaccurate advice, negligence, infringement of intellectual property allegations among others at a cost of about £135 a year.
