Professional indemnity insurance explained

Professional indemnity insurance means peace of mind for you and your clients. Whatever business you’re in, you work hard to provide the best service you can and that’s what your clients expect. But things don’t always go to plan.

Nobody expects to make mistakes, but they still happen and they can cost your clients money. When things go wrong, whether it’s your fault or it’s down to someone else in your business, Hiscox professional indemnity insurance can cover you for up to £10 million for legal costs, compensation and expenses.

What does professional indemnity cover do?
It’s there to help your business deal with legal action and claims for compensation when you or someone in your business gets it wrong. It protects you when a client’s reputation is damaged or they lose money and they blame your business. If they decide to come after you for money, we’ll cover you.

When should I get professional indemnity insurance?
Some professional bodies and regulators require businesses to have professional indemnity insurance, but anyone providing professional services or handling client data and intellectual property should have it too. Mistakes happen and even if it’s not your fault, you could still be challenged. If an employee gets it wrong, or even if you feel there’s no mistake at all, you may still have to defend yourself.

How much professional indemnity cover will I need?
How much you need depends on the likely costs of things going wrong in your line of business and it should be enough to cover the cost of defending or settling any claims you might face. To calculate the right level, it’s important to check your contracts and the value of your projects, and talk with peers or a professional body. We’ll tailor your policy to suit your needs, so you’re properly protected.