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What Our Plans Cover
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Negligence in the provision of pro...
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Errors and omissions in advice or...
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Breach of professional duty of car...
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Legal defence costs and expenses
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Claims arising from work done back...
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Loss of client documents
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Defamation arising from profession...
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Vicarious liability for employees...
Who Can Consider This Plan?
- A registered business, professional practice or organisation
- Activities within the classes the insurer writes
- Accurate disclosure of turnover, activities and territories
- Disclosure of all known circumstances that could give rise to a claim
- Compliance with any statutory licensing applicable to the activity
What May Not Be Covered?
- Claims arising from work before the retroactive date
- Circumstances known at inception and not disclosed
- Deliberate or dishonest acts
- Bodily injury and property damage, which belong to general liability
- Contractual guarantees and warranties beyond a reasonable standard of care
Always check the policy wording before you commit.
Why Choose Wealth & Covers?
- Expert advice to choose the right plan
- Plans from leading insurance companies
- Hassle-free process and documentation
- End-to-end support, including claim assistance
- Dedicated relationship manager
Our Insurance Partners
- Star Health Insurance
- Care Health Insurance
- Niva Bupa Health Insurance
- HDFC ERGO
- ICICI Lombard
- Bajaj Allianz
We represent multiple providers to help you find the most suitable option at the best price.
- Expert Guidance Personalised advice from experienced insurance professionals.
- End-to-End Support From choosing the right plan to claim assistance, we are with you always.
- Claims Assistance Hassle-free claim support to ensure you get what you deserve.
- Transparent Process Clear information, easy documentation and a hassle-free experience.
Overview
Professional indemnity covers claims arising from professional advice or services — negligence, errors, omissions and breach of professional duty. It responds to financial loss suffered by a client, which is exactly what a general liability policy excludes.
Almost all professional indemnity is written on a claims-made basis. That means the policy responding is the one in force when the claim is made, not when the mistake happened. Two consequences follow, and both are frequently misunderstood.
First, the retroactive date determines how far back your past work is covered — advice given before it is uninsured however long you have held cover since. Second, cover must be maintained continuously; letting a policy lapse leaves years of past work exposed, which is why run-off cover exists for practices that close.
Who should consider it
Consultants, architects, engineers, accountants, lawyers, doctors, IT service providers, designers and management consultants. Most professional bodies require it, and most corporate clients now insist on it contractually.
Benefits
- Covers financial loss claims that general liability excludes
- Legal defence costs, which usually dominate professional claims
- Retroactive cover for past work, back to the agreed date
- Run-off cover available when a practice closes or is sold
- Meets professional body and client contractual requirements
- Extendable to cover loss of client documents and data
What is covered, and what is not
Read the right-hand column first. It is the one that decides whether a claim is paid.
Typically covered
- Negligence in the provision of professional services
- Errors and omissions in advice or documentation
- Breach of professional duty of care
- Legal defence costs and expenses
- Claims arising from work done back to the retroactive date
- Loss of client documents, where extended
- Defamation arising from professional activity, on many wordings
- Vicarious liability for employees and sub-consultants
Typically not covered
- Claims arising from work before the retroactive date
- Circumstances known at inception and not disclosed
- Deliberate or dishonest acts
- Bodily injury and property damage, which belong to general liability
- Contractual guarantees and warranties beyond a reasonable standard of care
- Trading losses and insolvency of the insured
- Fines and regulatory penalties
- Work outside the professional discipline declared
Inclusions and exclusions vary between providers and between plans from the same provider. The wording in your own policy document is what governs — we will walk you through it before you buy.
How it works with us
- 1 We map the exposure before choosing a policy What you do, who it touches, and where a claim would come from. Liability cover follows the exposure, not the industry label.
- 2 Trigger and retroactive date agreed first Occurrence or claims-made, and how far back the cover reaches. These decide more than the limit does.
- 3 Limits tested against a realistic worst case Not the average claim — the one that would matter. Defence costs are part of that calculation.
- 4 Underwriting and, for larger risks, a survey Insurers price liability on process and controls. Good documentation genuinely lowers the premium.
- 5 Policy issued, and notification process explained Late notification is the leading cause of declined liability claims. We make sure your team knows when to call.
Important considerations
The things a brochure tends to leave out. Read these before you decide.
- Protect the retroactive date when you change insurers. A new policy with a current retroactive date leaves all your past work uninsured, and it is the most damaging mistake in this class.
- Never let the cover lapse, even between engagements. Claims-made cover only responds while it is in force, and a gap exposes every year of work behind it.
- If you close or sell the practice, buy run-off cover. Claims can arrive years after the last piece of work, and without run-off there is nothing to respond.
- Disclose known circumstances at inception. A situation you were already aware of is excluded, and non-disclosure of it can affect the whole policy.
- Check whether defence costs erode the limit. Professional claims are defence-heavy, and costs inside the limit can consume most of the cover before any settlement.
Documents required
- Business registration and constitution documents
- Description of activities, products or services
- Annual turnover and, where relevant, export turnover
- Number of employees and details of contractors engaged
- Claims and incident history, usually for five years
- Existing policy schedules, where cover is being replaced
- Contracts specifying required indemnity limits, where applicable
Frequently Asked Questions
What does claims-made mean in practice?
The policy that responds is the one in force when the claim is made against you, not the one in force when you did the work. It is why continuous cover matters so much — a lapse today exposes every year of past work, however well insured you were at the time.
What is the retroactive date?
The date from which past work is covered. Work done before it is excluded regardless of how long you have held cover since. When switching insurers, carrying forward your original retroactive date is more important than saving on premium.
What happens if I retire or close the practice?
You need run-off cover, typically for several years, because claims can arrive long after the work. Without it, the day you stop paying premiums is the day your entire back catalogue becomes uninsured.
Is this different from general liability?
Entirely. General liability covers bodily injury and property damage; professional indemnity covers financial loss from your advice or services. A firm that both advises and operates physically needs both, and the boundary is worth mapping.
My client wants a specific limit in the contract. Is that enough?
It is a floor, not an assessment. Contract minimums reflect the client's comfort rather than your exposure. Test the limit against the largest project you handle and the defence costs a serious claim would generate.
Want a shortlist instead of a catalogue?
Tell us the situation and an advisor comes back with two or three options that actually fit — and names what each one gives up.