We’ve no doubt that you’ve heard of Professional Indemnity insurance before. You may know it by a different name; errors and omissions, PI insurance or professional liability insurance. Whatever you call it, it means the same thing.
It’s insurance that provides cover for freelance contractors in the event that a client suffers financial losses as a result of a ‘breach of professional duty’. That could mean neglect of professional responsibilities, an error in work or omission on the part of the contractor.
It’s a pretty fundamental element of cover for any contractor. It will protect you if a client alleges you’ve made a mistake in any designs, advice or specifications you provide during the course of your contract.
Many freelance contracts now require you have a minimum level of Professional Indemnity cover and for good reason. Read on to find out what we think are some of the main benefits that this insurance can bring to a contractor’s life.