Provides indemnity for the cost of claims brought against your company, yourself or your employees when a client or third party alleges you’ve breached your professional duty. The claim may be that you haven’t completed your services satisfactorily, or that there’s been a breach of duty because of a specific act, error or omission.
Professional indemnity insurance also covers the legal costs and expenses for your defence, as well as any damages or costs that are awarded as described above.
You need to have the insurance in place when the problem is identified – this could be several years after the alleged mistake was made.