Professional indemnity is a kind of insurance policy that provides an essential financial protection cover to a wide variety of professionals and advisors, working in different industries. The insurance cover is effective when a client suffers any kind of financial loss as a result of an error, omission or negligence during the course of the services offered by a professional. No professional can eliminate risks or damages from his/her professional life. Therefore, it is important to seek an effective protection that can protect your interests in those uncertain times. Also, if you ever have to face any claim by a discontented client, you can get adequate compensation for the same.

No wonder, having a good professional indemnity is a must have insurance policy for every practicing professional. Anyone from accountants, brokers, computer professionals, architects, engineers, solicitors, bankers, copywriters, contractors, managers, social workers to forensic consultants should have professional indemnity to avoid any embarrassing situation that may come into their professional career. Without having a good insurance policies, professionals live with a fear of being exposed to situations that may prove a catastrophe for their careers.

Anyone making a living by selling his/her knowledge, skill or offering some other kind of services professionally is considered as an expert by the clients. Therefore, any specific opinion or an advice is viewed as valuable in the concerned industries. However, with the increasing transparency and consumer awareness, people do not feel hesitant to file a lawsuit against a professional if anything goes wrong. If they don’t find services at the desired level, they can always sue you and ask for the compensation for the loss caused to them. Therefore, it is better to seek an effective insurance cover that saves you when you are in serious financial trouble. Besides offering you the adequate compensation, you will also get legal fees as well.

To live is to risk. Risk is one of the forces in life practically beyond human control. Risk engulfs every sphere of human existence. Even our very own profession is prone to risks.

The risk can never be eliminated; but it can definitely be insured. Though we don’t often realize our professions are susceptible to hazards and this can sometimes affect us disastrously and cripple down our financial stability. Be it anyone, freelancers or full timers, every professional from lawyers, accountants, real estate consultants, creative consultants, to software developers, a slight negligence can give way to hazardous financial claims and hence unbearable stress.

Realtor, software developers, and creative professionals amongst many other in need of a PI cover

The real estate professionals too fall under the purview of professional indemnity. For instance a realtor sells a piece of land at a particular price. While buying a house or an apartment, the buyer definitely anticipates some equity on the value of the property purchased. There are instances in abundance when a slight dissatisfaction has resulted in heavy financial claims by the client to whom the realtor has just recently sold a property.

The need of PI insurance if felt in the avenue of software development as well. If a particular piece of software made by developers fails to meet the expectation of the client, chances are that the company would land up into hot waters.

Sometimes, even photographers fail to escape wrath of their clients. A fashion photographer publishing photographs of celebrities without the latter’s permission may get sued by the latter on grounds of invasion to privacy.

Any profession which is related with direct interaction with clients needs to be covered by PI insurance. A PI insurance is the best possible option to protect one’s professional career from its possible atrocities.

f you are working as a freelance contractor, you must have a Professional Indemnity Insurance cover to meet your legal errands and obligations. Nowadays, you may have noticed that your clients are insisting on proof of your Professional Indemnity insurance before going on with their contract. Whether you work from home, overseas or clientsâ?? place, you need to insure your business and protect yourself with Professional Indemnity Insurance.

Being a freelance contractor, you carry certain responsibilities towards your customers. At times your mistakes can become a pricey issue for them. Clients will have a legal cure and can seek justice for their financial loss. But professional indemnity insurance offers you the liberty in your profession, in any case of whether your clientâ??s claim is small or big. Professional indemnity insurance guards you against your legal liability for losses bared by your clients as a consequence of your negligent guidance.

However PI insurance is legally essential in certain vocations, such as law, accountancy & financial services. It is universal in other areas such as management and computer consultancy, publishing, engineering and design. One of the important aspects to understand is that the professional indemnity insurance does not offer the policy for an indefinite period of time or for an indefinite amount. It just like any other cover, the policy will function only for a specific period which is evidently set in the terms and conditions of the agreement. Furthermore, it provides cover only under a prescribed amount which is again decided at the time of the agreement. These daysâ?? newer and newer jobs are being born out of the changing lifestyles and value systems of people. Hence professional indemnity insurance has become a necessity for most of the business. Also there are extensive arrays of insurance products completely catering to the wants of freelance contractors. Also you can get on the spot online insurance quotes, purchase policy and even download policy certificate within few minutes, from the comforts of your home. Therefore if you are protected with professional indemnity insurance for your freelance contract business now, you need not worry about defending the claims of the past made against you or the future damages that may arise.

Article Resource:-

http://www.freelanceinsure.co.uk/articles/PI-insurance-for-contractors.php

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Professional Indemnity Insurance|Professional indemnity

In today’s knowledge driven society, where clients fight to recruit the most talented, highly skilled professionals, the opportunities for freelance consultants are endless. Yes, freelancing can be lucrative and  rewarding but its all not all sweets and roses. Why? Because even the most experienced freelancers can find themselves in hot water if their advice / actions cause financial lose to a client. If things do go wrong and and a professional negligence claim is filed against a freelancer, their life’s work and financial future can be put on the line. Saavy freelancers have therefore realised its worth investing in professional indemnity insurance. Not only does PI insurance act as a safety net, funding legal costs and compensation payments in the event of a claim  – it also acts as a stamp of credibility and authenticity while soliciting new clients. So why not maintain a policy for the sake of a few pounds a week?

Example’s of how professional indemnity claims can arise is given below.

A graphic designer used a logo from a text book drawing, and was sued for breach of copyright. Compensation awarded was £35,000. A marketing consultant printed the wrong contact number in an advertisement and was sued for loss of income and damage to the advertised brand. £40,000 was awarded as compensation. Luckily for the consultant, he had adequate PI insurance to cover the compensation and legal costs.

The reality is that freelancers now work in a hyper litigous business environment and need to implement risk management measures so they can protect their business assets and reputation. Professional indemnity insurance provides freelancers with a financial war chest to fight legal disputes and come out relatively unscathed. Article Resource:- http://www.coulsonpritchard.com/articles/freelancers-insurance-professional-indemnity-insurance.asp

Professional indemnity insurance claims are not, as is commonly assumed, solely the experience of those who churn out work containing technical deficiencies. They extend to cover situations in which consultants probably did nothing wrong but the client made a loss and decided to attack all potential sources of compensation; or the contractor made errors and subsequently went into liquidation; or there were so many parties involved, all with different versions of events, that criticism of the consultant was an inevitability.

All consultants, therefore, need to protect their assets against claims. This is partly achieved by maintaining professional indemnity insurance cover but only if the terms of coverage are suitable and the limit of indemnity is adequate.

All practices, even those with clean claims records, should review their limit of indemnity as a matter of course at each renewal and increase it if appropriate. The incidence of claims exceeding the limit of indemnity is already much higher than it used to be and is a trend which is set to continue. Consultants whose liability exceeds their insurance have to fund the balance out of their own assets to the extent they can.

Effective risk management is as much about preventing spurious claims as it is about avoiding genuine errors.

The task of any professional person is not solely to produce sound advice based on his technical knowledge and experience but also to communicate it effectively – good communication is what makes the difference between producing a solution and providing a service.

Sometimes the consultant has to be prepared to go beyond communicating advice required of him under his appointment, as disputes may arise through others in the team failing to communicate as effectively as they might. Whilst it is true that consultants create problems by exceeding their brief, in practice there are circumstances in which doing so is the best way to protect against spurious allegations if the preventable is allowed to deteriorate into the inevitable.

It should be possible to communicate the relevant message in such a way as to achieve this whilst not materially affecting the consultant’s exposure to liability.

A carefully worded letter might flag a potential issue to the client and merely suggest, with appropriate disclaimers and qualifications, that the client take further advice – which the consultant himself might provide for an additional fee, or which the client might procure from elsewhere. Such cases may constitute circumstances which might give rise to a professional indemnity insurance claim and which should therefore be notified to your insurers. Either way, our specialist claims brokers are available to offer advice.

Professional indemnity is a kind of insurance policy that protects your business from any financial mishap and claims that are capable of spoiling your reputation. In todayâ??s transparent world, even the most famous companies cannot get eliminate the chances of disputes with clients. Any small mistake can be turned out in an ugly situation wherein professionals can lose a lot. Following is a list of common situations that can be termed as unpleasant and undesired:

Loss of documents/data: in case of any damage, loss of data and confidential documents. Negligence: it includes violating promises and duty of care. Dishonesty: liability caused by theft of your clients’ money. Intellectual property: committing breach of trust by infringing copyrights, broadcasting rights and trademarks. Professional indemnity: how it protects your business?

Professional liability insurance helps professionals in so many ways. Let us discuss them one by one:

In the event, a professional makes a mistake during the course of services provided to the clients and he/she makes a mistakes occurs. The insurance policy defends a professional in case of any dispute that turns out to be a complicated situation. No matter you win or lose, the right professional indemnity helps you to pay for the damages caused to the client.

Apart from the guarantee of paying the compensation liability, insurance policies provide for the cost of fixing a mistake. In the event, a professional detects a mistake and tries to fix it to avert the further unpleasant consequences. It helps in avoiding wasting time and resources on litigation.

In the event, professionals lose any confidential data or document or any of the employees are involved in the theft, insurance policy protects professionals and help them to work in a risk free environment. Besides these, insurance policies defend a claim in courts and hire specialists to fight for your professional honor.

Article Resource:-

http://www.freelanceinsure.co.uk/articles/professional-indemnity-insurance-terms-explained.php

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Liability Insurance|PI Insurance

The constant demand for professional advices and services has propelled experts to offer their specialized services to clients from different disciplines. Today, taking a professional help has become mandatory for every company to bring efficiency and effectiveness in its operations. For example, a doctor is needed when you are sick, an engineer helps you to construct a building, a lawyer defends you when you are trapped in a dispute, a creative person helps you to enjoy art, a film maker offers you a source to get entertainment and so on….. The life without a professional help is incomplete.

However being human, no professional is beyond the risk of errors. Risk and profit are the two sides of a coin. Without risk no professional can get success. If you cannot eliminate the risk factor then why not get prepared to tackle situations that might cause troubles for your professional career. Occasionally, professionals commit mistakes or errors that may cause financial damages to their clients. Therefore, it is advisable to buy a good quality professional indemnity insurance for protecting self from those unseen times.

Many insurance companies provide good professional insurance policies to professionals working in different disciplines. To get the most effective service, an insurance broker will evaluate your risk factor and suggest a policy that will help you the most. Professional indemnity will provide the financial protection should you have to pay a heavy compensation to discontented clients. Even if you have done nothing wrong, but a client alleges negligence on your part, the policy will still protect you and pay the legal cost in defending you.

A typical professional indemnity insurance policy protects against:

Negligence – a breach of duty of care Intellectual property – where you unintentionally infringe on someone’s copyrights,       trademarks, broadcasting rights, or you may inadvertently pass your business off Loss of documents, money or data – damaged, lost or stolen data, documents &       money belonging to your clients Dishonesty – liability arising from the theft of your clients’ money Libel or Slander – communication of a statement that makes a false claim Breach of Confidentiality – where someone alleges you have divulged information       detrimental in some way or which could cause loss to them

To ensure you have the right cover read the policy documents thoroughly to avoid any mis-understanding. Ask questions and garner full information about the insurance policy detail. Article Resource:- http://www.coulsonpritchard.com/articles/professional-indemnity-insurance-managingrisk-for-profit.asp know more about Professional Indemnity Insurance:- Professional Indemnity Insurance|Liability Insurance

Professional Indemnity Insurance is a kind of insurance where the insurer is protected or covered against claims from mistakes that he makes in his business where he may find himself in a dispute with his customers.

The demand for PI insurance is increasing day by day. Whether you work in a company, or you are a contractor offering services within your specific professional industry, the client expectations of quality and service are set very high nowadays and you need to display a standard or even above-standard level of knowledge, care and skill.

Generally, a “professional” is anyone who provides specialist advice or services within their sphere of knowledge. This notion can be referred not only to accountants, lawyers and surveyors, but also to consultants, designers, advertising agents, real estate agents, tax agents, translators, private investigators, architects, workers of the IT industry, etc. Lately, the courts have taken a broader view concerning who can be called a professional. The list keeps expanding and also includes trade associations, riding masters, diving instructors, funeral directors, and a lot more.

With the increasing number of claims for alleged negligence or breach of duty, it is unwise to go without the Professional Indemnity Insurance cover. The cost of defending claims made against you may put your business and personal assets at risk. You need the right type and amount of coverage to protect yourself against losing your valuable assets.

Buying Professional Indemnity Insurance means protecting yourself against legal liability for an act, error or omission, professional neglect or any of the above-mentioned issues.

Professional Indemnity Insurance operates on a “claims made and notified” basis. It means that for a claim to be accepted by an insurance company, the policy needs to be in force at the time the claim is made and notified. With the Indemnity Insurance, it is necessary to be covered when a claim is made, which may be different from the time when the mistake is made.

Remember that your Professional Indemnity insurance policy can cover you for any claims arising out of work you completed in the past. Consider taking out retroactive cover to secure yourself against claims that may arise from previously completed work. Note that sometimes Professional Indemnity claims tend to arise even years after a contract for a particular service has been completed.

BizCover specializes in Professional Indemnity insurance and also carry numerous types of Business Insurance: BizCover customers can mix and match insurance types. Business Insurance types include Public Liability Insurance, Office Contents Insurance, General Property Insurance, Glass Insurance, Tax Audit Insurance, and Premises Insurance.

BizCover is the fastest growing online insurance broker in Australia and works in partnership with its parent company.

Professional indemnity insurance (PII) is a liability insurance and protects your business when there is claim for compensation due to any loss (financial/image damage) as a result of your professional negligence. Earlier accountants, surveyors, engineers, solicitors and architects were the major buyers of these insurance policies. However, the changed definition and dynamics of professionals now necessitated the demand for PII among people engaged in other sectors. Professional is a skilled human being capable of offering specialized advice and service. So, IT consultants, designers, doctors, artists, photographers, marketing and management consultants are now taking the help of PII cover to protect their professional interest.

When professional indemnity can help?

The professional indemnity insurance can offer you protection (only if the claim is made) in the following situations.

If there is any negligence or breach of contract on your part If your unintentional infringement of intellectual property right causes a damage to the client Any sort of liable or slander Loss of the data provided by the client If any of your employees is found guilty is misappropriation of the clients’ money

Limitations of professional indemnity insurance policies

Professional Indemnity insurance does not offer you coverage against the claims above agreed amount, demand for compensation after the policy tenure (if not renewed) and specific vetoed activities. They do not protect you against any sort of environmental and pollution claims. Some of the insurers also do not offer coverage for overseas work. Another shortcoming of professional indemnity insurance policies are that they are for a specified period only and not for life. You never know when the client will file for compensation. If the client faces any problem after the expiry of the policy and files for compensation, you land in the problematic zone. In this regard long term professional indemnity insurance policies (if you can afford) should be given preference.

Article Resource:-

http://www.freelanceinsure.co.uk/articles/professional-indemnity-insurance-advantages-and-limitations.php

Have you ever heard about management consultant indemnity insurance polices? Indemnity insurance for management consultants provides an effective cover that protects consultants when things go wrong.

Consultants: What they do?
Management consultants are experts who provide their expert opinions to companies to bring improvements in their overall operations. They are much sought after advisors who lend their helping hands to companies to enhance their serviceability and customer satisfaction. They analyse the existing business model of organisations and prepare their report to overcome the impediments that hinder the process of growth prevailing there. They encourage employees to work to the best of their abilities. They render valuable support in tackling any challenging activity. By utilising their business acumen and thorough understanding of eth subject, management consultants help a company to prosper and to attain its targeted place in the business market.

Many times, management consultants help in shuffling of top management of a company. They play a vital role in restructuring and reorganization of the management of a business entity. With their farsightness, they induce changes and measures that can help companies to deal with the potential challenges.

With so much to offer, management consultants work on a razor’s edge. They are expected to provide desired consultancy services as promised. However, being human only, consultants do commit errors or mistakes that can prove to be a danger for their consulting careers. Any kind of error, omission or mistake caused by consultants during the course of the service offered to their clients is subject to a lawsuit. A displeased client can ask for the compensation and consultants may feel the heat.

Consultant indemnity insurance is the right solution for protecting interests of consultants who offer their expert opinion for needy companies. In the event if a consultant makes a mistake and have to pay for the damages caused to the client, an insurer will bear the burden of compensation sought by the client.