What sort of business needs professional indemnity insurance?
Professional indemnity insurance is a requirement for any business trading in financial advice, legal practices and consultancy. It protects advisors from any costs or damage claims made as a result of professional advice given, insuring against lawsuits brought by clients and affiliated third parties who claim that your mistake or bad advice cost them money. It can cover the cost of repairing damages done or cover settlements with clients to avoid court altogether. It can also cover your expenses if a client withholds payment from your business.