Professional Indemnity Insurance in South Africa
Every South African business owner or professional service provider should consider getting business insurance for his company, whether it is big or small. The reason is the same as with any other insurance – simply because there are many risks involved, especially when running a business or delivering professional services. Other than liability insurance, one of the most common types of coverage you can get for your business is Professional Indemnity (PI) Insurance.
What is professional indemnity Insurance?
Definition: PI insurance is there to cover you, should your client undergo any financial loss because of the service you provided them.
In other words, should you be a professional that sell your services or advice to clients and it turns out that a mistake is made or negligent advice is provided to the customer, which then results in a lawsuit, then the legal costs or compensation for damages will be met with a PI policy.
Why do you need PI Insurance?
First of all, no-one is perfect. Even if you are a professional there may be times where mistakes are made. Any kind of business, therefore, runs a risk of acting out a negligent act or omission which can cause loss, damage or injury to a third party. The big risk comes when these unexpected and unplanned legal fees and compensation for damages, loss or injury has to come out of the business budget. This may result in a big financial setback and, depending on the size of your business, sometimes even bankruptcy. For this reason, PI insurance is a very important part of any business and can help in the event where human errors are made.
What Are Covered?
The following are usually covered by a PI policy:
- Protection against professional negligence
- Unanticipated events
- Lawsuits with cruel intent
Where to find the best Policies & Quotes
Now that you understand what PI insurance is and why it is important for your business, the next step is to find the best policy. Business insurance policies are not as common as other general insurance policies and therefore, it may be hard to find an insurer you can trust. We can help you with that. On this page, you will find a short form asking for some personal information and the policy you require. By completing this form, we can help you find the best PI cover for your specific needs. This will enable you to focus on what is important – your business, while our agents go and find the best policy for you. This service, of course, is free of charge and free of any obligations from your side, so feel free to use when you like.