Professional Indemnity FAQ

You may need Professional Indemnity

You may need Professional Indemnity Insurance

For people who give advice to those that depend on this advice, a duty of care is owed. Generally these are people who charge for their services rather than sell products or perform manual work.

 

These can be the traditional “white collar” professionals such as Accountants, Architects, Solicitors and Financial Advisors through to Medical Professionals such as Surgeons and General Practitioners. Then there are the myriad of consultants who have expertise in specific areas that are engaged on short or long term contracts to Business or Government departments.

 

These professionals can be held accountable for the advice that they give. If their advice is incorrect or they have missed providing information and as a result it leads to their client’s suffering a financial loss, it is likely that they will seek compensation.

 

This means, they will be sued!

 

Professional Indemnity Insuranceor PI Insurance will protect you against the cost of defending claims where it is alleged that a client has suffered financial loss as a result of your error, omission or negligence. If you provide advice for a fee, we strongly recommend you have this cover.

 

It is important to note that Professional Indemnity is a “claims made” cover. That means you claim from the policy in force at the time someone brings a claim against you. Not the date within the policy period the advice was provided.  

 

The standard PI Insurance policy will cover you for work carried out after a retroactive date specified.  This is often set at the inception date when cover is first taken. So it will not cover any work performed prior to that retroactive date. However it is possible for the policy to be extended to include work you carried out in the past for a small additional premium which suits those who have been in business for a while before taking cover.

 

So even when care and skill is exercised, there is still the potential for a professional to make a mistake that causes financial loss to a client or for a client to allege that a mistake has been made, even if not.  Whilst such disputes are rare, if they do occur they can be costly. Professional Indemnity Insurance will, for a reasonable  premium, provide peace of mind against these risks. 

 

In addition, having PI Insurance will bolster the credibility that you are in business on your own account. It will give your clients the reassurance that there are sufficient resources to handle any recourse in the unlikely event of an alleged breach of duty, adding value to any contract.

  

Latest News

Robert Cooper - one of 100 faces of small business

This week it was announced as part of Small Business Week,  that Robert has been named one of the 100 faces of small business for a State Government promotion on the great value that small businesses play in the State of Queensland.

You can see Robert's entry here:

It is the third accolade for CPR Insurance Services in a month and after seven and a half years in business is a real pep up for the company.

For Robert, it is the culmination of many years experience, becoming well qualified, experiencing the highs and lows of a career and always wanting to contribute to his community. Sometimes, these things just come together and you receive recognition for your efforts.

Robert says that there is no doubt that starting your own business is a huge challenge, but with the right research and planning, the right people around you and a good set of values that you apply to the vision of the company, you have a very good chance of making it all succeed.

Robert says he is lucky. He has a strong supportive Wife, Mandy, who is also part of the business, along with efficient and hard working staff such as Julia McLauchlan and Aidan Harmer who are building up their own skills in a learning environment. 

However, the most important and most supportive people for CPR Insurance Services are our clients who have stuck by us and supported us over the past seven years. Our focus remains on providing the best possible service we can and always acting in their best interests. To all our clients, we say thank you!

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CPR Insurance wins Brokerage of the year

CPR Insurance Services picked up the award for the Best Brokerage (1-5 staff) in Australia, last Friday Night (4th May 2018) at the Insurance Business Magazine Awards held at the Westin in Sydney.

Judging came from various parts of the industry. It is a great honour to be recognised for our hard work and particular Business values we follow. A full list of winners is listed here.

Success comes from having great staff, and we thank Aidan Harmer and Julia McLauchlan as important support staff for helping us win such an award.

CPR Insurance has been in operation for more than 7 years now and is only successful because of the wonderful support from our staff, insurers and most importantly, our fantastic clients who put their faith and trust into our company to be their Risk Advisers and Brokers. 

Thank you to all.

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