Professional Indemnity insurance provides cover should a third party suffer a financial loss as a result of your professional error, omission or negligence.

For firms that fall under the Insurance Distribution Directive (IDD), the minimum levels are set out in Euros as follows: €1,250,000 for a single claim and €1,850,000 in the aggregate For UK Based firms, these minimum requirements are translated into sterling and must be met at the date of purchasing the policy and at the date in which their policy incepts or renews.

If your excess exceeds £5,000 or if you have exclusions in your policy for activities that your firm is or has been involved in then please refer to the FCA handbook (https://www.handbook.fca.org.uk/handbook/GENPRU/2/1.html) for information regarding this.

Every insurer in the market will have their individual proposal form and completing these can sometimes be a challenge. They can require data since trading which of course can cover many years. Our advice would be to complete these forms with as much detail as possible and ensure accurate disclosure of information at all times.

In the event of a claim, notify your client manager who can guide you through the process as soon as possible.

Please include all complaints ever received, even if these cases were not upheld or you believe your firm was not responsible. These cases should include the claimants name, date of complaint, reason for complaint, amount claimed, current status, if a reserve is held by your insurers and any supporting comments you feel necessary.