Professional Indemnity Insurance (PI)
Commercial insurances
Problems with suppliers, customers or your tax accounts could all threaten the viability of your business.
Especially if your business gives advice, offers a professional service or handles intellectual property belonging to clients you could need professional indemnity insurance (PI) to protect against negligence claims or mistakes that leave clients out of pocket.
Hedley Byrne principle :
there does not have to be a contractual or fiduciary relationship for there to be a liability for negligent misstatements that cause financial or physical loss.
This tort case on economic loss resulting from negligent misstatement has had subsequent development from 1964 to now.
Purpose of PI cover
Purpose of professional indemnity insurance is to protect the professional person against the legal liability to pay damages to persons who have sustained financial loss arising from their, or their employees’, professional negligence under the concept of ‘vicarious liability’
How liability arises:
- Failure to exercise that care and skill and the client suffers loss as a result, the client may well sue them for negligence
- Professionals possessing expert knowledge and qualifications and they owe a duty to their clients to exercise the degree of skill that is expected of a person in that profession
- Trend of litigation has been to im- pose conditions on professionals that should lead to higher standards
Additional optional covers on a Professional Indemnity policy:
- Crime cover
- Director & Officers Liability
- Employer Practices
- Public Liability
- Product Liability
- Cyber Liabilities
Professional Indemnity insurance brochure
Learn more about Profesional Indemnity Insurance, how it can help
protect your business and what it covers and what situations can cause claims.
Download Brochure
Professional Indemnity Quote
For more information about PI Insurances please get in touch.
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Call: +852
8170 3810
