A Professional Indemnity policy may cover your byusiness's interests against claims in areas such as errors, omissions, libel and slander, professional neglect, malicious falsehood, passing off copyrights, breach of confidentiality, and negligent statement or actions, both the principles and employees of the business.

In business, mistakes are likely to happen. 

Errors can lead to a mountain of legal fees and compensation fees if someone such as a client suffers a financial loss.

Professional Indemnity Insurance protects you against claims for loss or damage made by clients or third parties as a result of the impact of negligent services you have provided or negligent advice you have offered.  

Compensation claims can be brought against you, even if you provided a service or offered advice for free. 

Some professional organisations and regulators make Professional Indemnity Insurance compulsory for their members. If you give advice, design or offer services in a professional capacity you are seen as an expert by your clients, these include the traditional professions such as architects, business consultants, engineers, insurance brokers, independent financial advisers, accountants and computer consultants. 

Claims which relate to past work or incidents that took place before cover was taken out may not be protected. 

Policies may include a retroactive date, this means that a policy can be backdated to cover any past work that you have done.