Professional indemnity insurance policies differ from personal home and motor insurance policies in that they are written on a ‘claims made’ basis. This means that it is the insurer currently holding the policy that must settle any claims even if it is following negligence which occurred before the policy was placed with them. For example if a client insures with one insurer one year and then moves to another insurer the following year, the new insurer must deal with any claims which arise even if the negligent act took place while the client was insured with the previous insurers.
Because of the way professional indemnity policies are written the insurers will insert a clause into your policy which states that you must inform them of any potential claims as soon as possible. If you don’t the insurers could refuse to deal with the claim leaving you liable for any costs incurred. This means you must inform them as early as possible if there is any indication of a potential claim such as a letter threatening to sue or even a verbal threat. Failure to do so could invalidate your policy.
As professional indemnity policies are very complex it is important that you deal with a company that can help you find the right policy for your needs as your business could be at risk if you do not have the correct policy in place. At Herald we have the knowledge and experience to help you find the right policy for your business meaning you can feel safe and secure knowing you have the right policy and cover in place to protect your business when necessary. We deal with specialist insurers who tailor their policies to suit each individual client. This means you only pay for the cover you need and therefore avoid any further unnecessary costs. We can provide professional indemnity insurance policies for a wide range of professions including:
- Financial Advisors
- Mortgage brokers
- IT Consultants
- Recruitment Consultants
When you speak to you can be sure we will find out the precise needs of your business and find a policy suitable for you from one of our panel of insurers. Given that we have access to a wide range of insurers we are able to find policies that not only offer comprehensive cover but also competitive premiums.
We look forward to taking your call.