How is professional indemnity insurance calculated

Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number , and respectively. How much Professional Indemnity Insurance do I need.

What is Professional Indemnity Insurance? Find out more about Professional Indemnity Insurance What does indemnity mean? How much Professional Indemnity Insurance do I need? The maximum compensation that could be awarded against you - This includes the compensation for any fees you were paid and any consequential losses your client incurs as a result of your mistake - for example, lost sales or missed business opportunities. Potential legal fees in the event of a court case - This is not only the costs to defend yourself, but also any legal fees incurred by your client in pursuing you.

These costs combined can easily run into hundreds, if not thousands, of pounds Size of the contract and the size of the client - The larger the company the bigger the legal department and the greater potential for legal and financial recourse. Protect yourself and your business When business is going well it can be easy to ignore any situations where your customer is unhappy enough to sue.

Do I need Professional Indemnity Insurance? Find out more Do I need Liability Cover? Choose the right way to get the cover for your business. And get the Indemnity and Liability cover you need, tailored to suit your business. Lines open 8am to 6pm Monday to Friday. Want to compare professional indemnity quotes online? Get Professional Indemnity insurance with a choice of indemnity levels.

Need Advice? Call Lines open 8am to 6pm Monday to Friday. Reliance on any one client can lead to a situation whereby the applicant does not share the insurers interest in resisting spurious claims, therefore commercial interests are in conflict. Excessive fees compared to contract values can indicate a higher perception of risk compared with industry standards can negatively impact your professional indemnity insurance cost.

Lack of standard contracts that mitigate your risk and legal vetting can indicate a reduced level of risk management and appreciation for the liabilities being accepted. The nature and size of an applicant's typical projects can indicate the level of exposure posed, with larger scale projects typically carrying increased risk.

Frequency and severity of claims with a lack of remedial action, can indicate a lack of quality risk management and systemic issues, will signifiantly affect your professional indemnity premium. Complete our digital on-boarding process and we can collate information that allows us to negotiate competitive professional indemnity pricing from the wholesale market. Contractual conditions can offer valuable protection against insurance claims. Therefore, insurers may require you maintain certain contractual conditions.

Your professional indemnity cost and availability of cover can be impacted if your contracts do not maintin:.

Insurers prefer if you offer a performance standard no greater than reasonable care and skill. Preferred contracts will not include: guarantees or warranties; liquidated damages promise to pay if a service is not performed ; or assume a third party's liability.

Complete our online application to compare professional indemnity insurance cost from the wholesale market. Read more about professional indemnity insuranc e and how it can protect your business from costly legal expenses and damages awarded by a court. Save time and money on your business insurance renewal with get indemnity 's digital on-boarding for new customers. Take out too much cover and you could end up paying for insurance you do not need. How does the insurer know what to pay?

This is the figure the PI company is liable to pay according to the terms of the policy. How do I work out my PI cover? What can affect my level of PI cover? Always factor in the rising cost of living to make sure the cover is high enough. If you do, you may not have enough cover if a claim comes in from a past year Specialist cover to suit your needs Discuss the level of PI cover you may need with an adviser, but you know your business and the risks you could face.

How to cost PI insurance First, forget the price and look at the risk. Once you have that quote, look at the extras to decide if you really need them. Request a callback Request a callback. Monday Tuesday Wednesday Thursday Friday. Follow us on social media.