A professional indemnity insurance plan is frequently taken out by lawyers, accountants, consultants, architects, surveyors, solicitors and accountants of Insync Insurance. These professionals are exposed to a number of claims arising out of their professional dealings.
Some of these claims may be fraudulent, while some may be valid. The aim of a professional indemnity insurance plan is to protect its members from fraud and also to ensure that they do not end up facing financial problems in case of any such claims.
There are many reasons as to why an insurance plan like In sync could be needed by members of the legal profession. One reason for this is that they tend to deal with a large number of cases involving negligence.
In case of professional negligence, they face issues where they may be liable to pay compensation to a client who has made a claim. While it is not always possible to identify the exact source of a client’s negligence, taking on a professional indemnity insurance plan can help such professionals avoid being forced into making admissions they may later regret.
The cost of such a plan is also often borne by the client who has been a victim of negligence. In sync insurance provides cover for claims against a professional negligence claim. For example, it can provide cover for claims arising from work carried out in the course of carrying out a lawyer’s duties.
A typical professional indemnity insurance scheme would include such work carried out as preparing a court submission or assisting a client in taking his appeal. It may also cover claims arising from professional errors such as those based on omissions or failure to undertake requisite actions.
Claims for breach of contract or breach of trust may also be taken into consideration by the provider of such a plan. When there are claims against professionals, there are two types of indemnity cover available. First, the full and complete indemnity cover.
Under this policy, the insured pays to the professional liability insurance company all claims arising from negligence. The second form is liability only cover. Under this plan, the professional liability insurance company pays to the individual only if he is found to be at fault for the claim.
One example of professionals likely to find professional indemnity insurance cover valuable nurses. As the largest proportion of healthcare workers, nurses are exposed to a substantial amount of negligence and injury claims.
It is not unusual for a newly trained nurse to be subject to an on the job injury. For nurses who wish to safeguard their interests, they should consider Professional Indemnity Insurance for Healthcare Providers.
Another category of professionals likely to find professional indemnity insurance policies beneficial is self-employed individuals. Because most professional indemnity insurance policies do not cover claims against employees, self-employed individuals need to be especially careful in choosing their cover.
In particular potential claimants are advised to investigate whether the policy covers errors and omissions or liability claims based upon negligence by the individual himself. Many self-employed people also work alone, which increases their vulnerability to liability and negligence claims.
To protect their interests, many self-employed individuals seek out professional indemnity insurance cover that includes liability cover. Professional Indemnity Insurance is important not only for employees but also for professionals such as accountants and solicitors.
Accountants who help clients manage their money may be subject to claims from the client for errors and omissions. For solicitors, claims made against them can arise due to breach of fiduciary duties or breaches of their clients’ right to sue.
While it is unlikely that professionals will be awarded compensation for any such claims, they may be eligible for claims of breach of contract and professional misconduct. When a professional indemnity insurance claim does come through, the client’s representative will have to make the initial contact with the insurance company.
If the client prefers to pursue the claim through their own agency, the claims process should be fairly straightforward. However, if the claim goes through an agency, the client should be prepared to handle the initial claim settlement and follow up.
If the indemnity cover covers other elements of the professional indemnity insurance policies, it is also important for the client to learn how the carrier plans on paying claims.