Professional Indemnity Insurance provides financial protection to businesses that provide a professional service to their clients. If a client suffers a significant financial loss as a result of a business’s alleged negligence, the client is likely to seek compensation. Professional Indemnity Insurancewill provide cover for the legal fees incurred in the event the business has to defend itself against allegations of negligence, as well as damages payable to the client.
Any business that provides a professional service to customers should consider investing in this type of policy—especially if a claim of negligence is made against the business without the funds or means to defend itself in legal proceedings.
Consumers today are far more informed about their rights, and if a claim is made based on poor service or incorrect advice, the customer is legally entitled to sue the business. Professional Indemnity Insurance helps protect you from the financial impact of these situations.
Certain industry bodies in South Africa require professionals to have Professional Indemnity Insurance in place before they may register or practice. For example, newly qualified lawyers must have this policy via the Attorneys Insurance Indemnity Fund (AIIF) as part of their membership fee.
In the corporate environment, large companies often require proof of Professional Indemnity Insurance before signing service agreements with outsourced providers. This helps safeguard against legal risks if the outsourced service is inadequate or leads to losses.
If your company offers professional services based on skill and expertise, compare Business Insurance quotes on Hippo.co.za to find the right policy that includes Professional Indemnity Insurance.
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Protect your business if a client claims your advice or service caused them financial loss.
It covers claims related to professional negligence, errors, omissions, contract breaches, and defamation. Legal defence costs and settlements are included if you're sued for bad advice or service.
This is essential for anyone offering advice or professional services—like lawyers, doctors, engineers, consultants, IT professionals, or financial advisors. It protects against financial claims from clients.
No. Those are covered under Public Liability Insurance. Professional Liability focuses on financial loss due to your advice or services—not physical damage or workplace incidents.
Compare tailored liability insurance and protect your expertise.
Avoid costly claims with the right policy.
Compare Business Insurance and find a plan that meets your needs. Whether you want comprehensive cover or more focused shuttle business liability coverage, looking at multiple options online helps you make an informed decision.