Professional Indemnity Insurance Meaning

Professional indemnity and business insurance to cover you in your profession and your business in its daily working if someone makes a claim against you don t stress you ll have us there to support you every step of the way.

Professional indemnity insurance meaning. Professional liability insurance pli also called professional indemnity insurance pii but more commonly known as errors omissions e o in the us is a form of liability insurance which helps protect professional advice and service providing individuals and companies from bearing the full cost of defending against a negligence claim made by a client and damages awarded in such a civil. Indemnity cover or professional liability insurance will prevent you from suffering a financial loss when defending or settling the claim. Professional indemnity insurance enables you to pursue legal avenues to clear your name and defend your reputation with the backing of a legal and insurance team. Professional indemnity insurance is an important type of business insurance especially for businesses that give advice or provide a professional service to clients it can cover compensation claims if a business is sued by a client for making a mistake that leads to financial loss.

Indemnity insurance is a type of insurance policy where the insurance company guarantees compensation for losses or damages sustained by a policyholder. If someone alleges that you ve made a mistake overlooked a critical piece of information misstated a fact or they have misinterpreted you in the course of your work resulting in a financial loss for your client they may take legal action against you to recover those losses. Indemnity insurance is an agreement wherein one party guarantees compensation for losses or damages. Professional indemnity insurance isn t a legal requirement for all businesses but some professional bodies and regulators will insist on a minimal level of cover.

Professional liability insurance protects professionals. Professional indemnity insurance often referred to as professional liability insurance or pi insurance covers legal costs and expenses incurred in your defence as well as any damages or costs that may be awarded if you are alleged to have provided inadequate advice services or designs that cause your client to lose money. Professional indemnity insurance is designed for professionals who provide advice or a service to their clients. Professional indemnity insurance definition.