If you want to buy professional indemnity insurance, there are a number of things that you should know before you make your purchase. This type of insurance is an important consideration for any business, so you want to make sure that you not only make the right decision, but that you get the right level of cover for your needs. Here are some quick tips to help when it comes to buying your policy.
1. Start as Early as Possible:
The first thing to remember is that it can take a long time to fill in your proposal form when you are applying for PI insurance. You don’t want to wait until the last minute to sort everything out because this could increase the chances that you may make a mistake.
You need to ensure that you are constantly covered, so if your previous policy is coming to an end, you should start the process of renewal or looking for a new policy many weeks in advance. If you are coming to the end of your period and you have not had an offer to renew, get in touch with your insurer or find a new provider.
2. Make Sure Your Proposal Form Is Accurate:
It is crucial that you make sure that all of the details you provide to your insurance company are accurate and truthful. Failing to complete all of the necessary information could lead to problems further down the line if you need to make a claim. If you have not been truthful on your proposal form, you could even find that your policy is cancelled.
Include all of the relevant details about your business activity, and provide any extra information if you need to. This is especially important for higher-risk industries.
3. Consider the Optional Extras:
There are often optional extras available when you are applying for professional indemnity insurance cover, and these allow you to tailor your policy to your specific needs. This may allow you to avoid paying for cover that you don’t need, but you should also be careful with this because you don’t want to end up removing cover that you do need.
4. Provide Details of Risk Management:
If you have risk management measures in place, make sure your insurer knows about these as they could lead to a lower premium because they demonstrate that you are less of a risk.
5. Go Over the Terms Carefully:
Make sure you understand everything that is included in the terms of the cover, and if you have any questions or doubts, speak to the insurance provider. Get your quote early before you need to renew your policy, and get your insurer to explain the conditions. Alternatively, hire a third-party to go over them for you.
Start Looking for a Quote:
Professional indemnity insurance is important for many businesses, especially those in high-risk industries. You don’t want to rush your decision as it is crucial that you get it right. Mistakes can and do happen, and if something goes wrong, you want to know that you are covered. So take your time and find the right insurer and policy for your business.