What is Professional Indemnity Insurance?

Professional Indemnity Insurance protects you and your business against claims for alleged negligence or breach of professional duties from an error or omission in the course of your business. If you make a mistake or omission causes a financial loss to a third party (typically a customer), there is a chance that they may take legal action against for their loss.

Why is Professional Indemnity Insurance needed?

Buying Professional Indemnity Insurance is becoming standard practice for all businesses that provide professional services and advice as it is an easy way to transfer the risk so you can manage your business with confidence that your assets are protected.

A Professional Indemnity Insurance Policy typically protects you against:

Damages awarded to claimants

Legal costs incurred by you and, possibly, the claimants

Claims investigation costs

Public relation costs

Other expenses associated with the claim

Professional Indemnity insurance is sometimes a contractual requirement or compulsory insurance, such as the ASIC requirement to comply with RG 126 for Australian Financial Service Licensees (AFSL) who deal with retail clients.

What Professions Do We Arrange Insurance for?

Geologists/Geoscientists

Laboratories

Consultants

Labour Hire

Recruitment Agencies

Real Estate Agencies

Accountants & Tax Agents

Design & Construct

Law Firms

Financial Planners

Corporate Advisors

Private Equity

Fund Managers

Corporate Secretaries

Engineers

Property Consultants

Public Relations

Property Consultants

Mining Consultants

Oil & Gas Consultants

IT Consultants

Technology Firms

Allied Health

What is the Cost of an Average Professional Indemnity Insurance Policy?

The cost of an average Professional Indemnity Insurance policy can vary widely.

Key Considerations in the price paid include:

Profession/occupation

Scope of advice being given

Turnover

The Number of Employees

Limit Chosen

Claims History

Why KBI?

KBI has a dedicated team that focuses on Professional Indemnity. We provide advice to some of the largest professional service firms in Australia and have our finger on the pulse of all Australian and Lloyd‘s Professional Indemnity insurers. As experts in this area of insurance, we work closely with your management and board to understand your unique needs. We then approach insurance companies on your behalf, getting a range of coverage and pricing options. Next, we compare these options and present them in an easy to read comparison with our recommendations to you to help you make an informed decision. Finally, we secure the insurance that you select and review it with you when required, depending on the growth and changes applicable to your organisation.