Problems with suppliers, customers or your tax accounts could all threaten the viability of your business.
Especially if your business gives advice, offers a professional service or handles intellectual property belonging to clients you could need professional indemnity insurance (PI) to protect against negligence claims or mistakes that leave clients out of pocket.
Hedley Byrne principle :
there does not have to be a contractual or fiduciary relationship for there to be a liability for negligent misstatements that cause financial or physical loss.
This tort case on economic loss resulting from negligent misstatement has had subsequent development from 1964 to now.
Purpose of PI cover
Purpose of professional indemnity insurance is to protect the professional person against the legal liability to pay damages to persons who have sustained financial loss arising from their, or their employees’, professional negligence under the concept of ‘vicarious liability’
How liability arises:
Additional optional covers on a Professional Indemnity policy:
Professional Indemnity insurance brochure
Learn more about Profesional Indemnity Insurance, how it can help protect your business and what it covers and what situations can cause claims.
Professional Indemnity Quote
For more information about PI Insurances please get in touch.
Reliable. Professional. Fast.