Important things to include in your Professional Indemnity Insurance


As a professional, your reputation is your most valuable asset. That’s why it’s important to have the proper insurance coverage in place to protect yourself against any potential legal issues. Professional Indemnity Insurance (PII) is a type of insurance that covers you and your business in the event of an allegation of negligence or breach of professional duty. 

But what should you look for when selecting the right policy for your business? Let’s take a look at some important things to consider before choosing professional indemnity insurance. 

What kinds of Professionals Need this Insurance? 

PII is essential for anyone who provides advice or services as part of their job. This includes lawyers, accountants, architects, surveyors and engineers professional indemnity insurance — basically any professional who engages with clients on a regular basis should have this kind of coverage in place. Even if you do not currently need it now, it’s best practice to get some form of PII in place before you start working with clients—just in case anything goes wrong down the line. 

What does Professional Indemnity Insurance Cover? 

Professional Indemnity Insurance will cover any potential legal costs related to a claim brought against you by a client, customer, or other third party. It can also provide financial protection in the event of a compensation claim due to negligence or errors made in the course of providing your services. It is important to note that PII does not cover any civil liabilities, so if you are found liable for damages caused by something outside of your professional duties, such as an injury sustained at your office, this type of insurance does not apply. 

Types of Coverage 

When selecting Professional Indemnity Insurance, it is important to make sure that you are getting the right type of coverage for your needs. There are two main types of coverage offered by most providers: Errors & Omissions and Public Liability. Errors & Omissions covers the cost of defending yourself against claims of negligence or mistakes made while providing services to clients, while Public Liability covers claims related to bodily injury or property damage caused by or as a result of your services. Depending on your profession, one type may be more appropriate than the other, so make sure to check with your provider about which option would best suit you. 

How much does Professional Indemnity Insurance Cost? 

The cost of PII varies depending on your profession and the amount of cover required. Generally speaking, premiums tend to range from £500 – £1,500 per year depending on how much cover you choose and how long you’ve been practicing professionally. Additionally, some policies include additional benefits such as legal expenses cover which can be helpful if you ever need to defend yourself against allegations brought against you by third parties. 

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Limits and Exclusions 

It’s important to understand the limits and exclusions of any professional indemnity insurance policy that you are considering. Most policies will have specific limits on the amount that they will pay out in case of a claim. Make sure you read through the policy carefully to understand exactly what is covered and what is not covered by each option.

Additionally, be aware that certain activities may be excluded from coverage depending on the insurer’s terms and conditions, so make sure to check these before purchasing a policy.  

Choosing the Right Insurer 

When selecting an insurer for your professional indemnity insurance, look for one who has experience in this area and offers tailored policies that meet your specific needs. An experienced provider will be able to advise on all aspects of the cover available and work with you to ensure that you get the best deal possible. It’s also important to compare quotes from different providers so that you can find a policy that meets both your budget and level of coverage requirements.

Geographical Limitations 

Another important factor to consider when selecting Professional Indemnity Insurance is geographical limitations. Some policies may only cover activities within certain countries or regions, which means that if you travel abroad for work then you need to make sure that your policy covers activities outside of your home country as well. If not, then you will need to purchase additional coverage before traveling abroad so that you are properly protected wherever you go.    


Professional Indemnity Insurance is an essential form of protection for any professional providing advice or services as part of their job. It covers legal costs related to claims brought against you by clients or customers and can help protect both your business and personal finances from the fallout from any mistakes or errors made during the course of delivering services.Taking these steps will help ensure that you get the best possible coverage at an affordable rate for your business’s unique needs!

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Last modified: February 26, 2023

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