close menu

Why professional indemnity insurance is essential for smart contractors

by Ashley Deakin | Apr 09, 2015
  • Professional indemnity (PI) is a type of insurance that covers your legal defence costs as well as any damages resulting from claims of “negligence” made against you by a customer. It can be essential to help you protect your assets and your reputation.

    Defending yourself against claims made against you can, and will in most cases, cost you time, money and your good reputation, whether the allegations are founded or not.

    You could also be held accountable for not only your own actions, but the actions of your colleagues, employees or even volunteers. 

    Agencies and companies who use the services of contractors often require them to have PI cover, but it’s still valuable to take it out even if it’s not in your contract.

    Besides covering your legal defense costs, PI also protects you from loss of data, employee dishonesty, unintentional breach, infringement or unauthorised use of intellectual property, as well as any breach of contract resulting from neglect, error or omission.

    You’ll also be protected against libel and slander, known as defamation and collectively defined as involving the communication of false information about a person, group or entity. Libel is any kind of visual defamation while slander refers to what is spoken or heard.

    PI is comprehensive, but the solutions offered by various policies do differ and can exclude cover for certain points. This is not necessarily a bad thing as it allows you to choose or build the cover that meets your requirements.

    To ensure you get good cover it is important to choose a PI provider carefully. Start with the obvious: how long have they been in business and what are people saying about them?

    A good PI policy gives you the peace of mind to focus on your business. We have partnered with Caunce O’Hara, an award-winning insurance brokerage, to provide you with PI policies that are comprehensible, flexible and highly competitive.

    We are a professional services company that specialises in cross-border financial and immigration advice and solutions.

    Our teams in the UK, South Africa and Australia can ensure that when you decide to move overseas, invest offshore or expand your business internationally, you’ll do so with the backing of experienced local experts.

    • Hand depositing coin depicting Pound symbol into house-shaped piggy bank
      Should you remortgage or consider a product transfer?
      Sep 23, 2019  |  by Neil Ambrose
    • Town- houses
      How Shari’ah (Islamic) mortgages work
      Sep 06, 2019  |  by Ian Henning
    • Home Model
      4 things first-time homebuyers should do
      Aug 20, 2019  |  by Neil Ambrose
    • Property with price tage
      It’s a great time to buy your first UK property – here’s why
      Jun 03, 2019  |  by Marlon Borez
    • Handing over house keys
      Contractor mortgages: What you need to know for a successful application
      May 31, 2019  |  by Ian Henning
    • House rent protection
      Rental guarantees: What lenders think about rent protection schemes
      Apr 24, 2019  |  by Bill Monty
    • blended-families
      How “yours, mine and ours” complicates the estate planning process: Advice for blended families
      Apr 17, 2019  |  by Sherron Alexander-Bedingfield
    • Mortgage Concept
      The perfect time to secure a better interest rate on your remortgage
      Apr 03, 2019  |  by Ian Henning
    • growing tree
      The boom behind ESG investing – what’s actually driving the demand
      Mar 26, 2019  |  by Mike Abbott
    • Lightbulb working
      South Africa’s Retail Distribution Review – slow but important changes for investors and advisors
      Mar 05, 2019  |  by Mike Abbott

    South Africa

    Cape Town

    Regent Square
    Doncaster Road
    Kenilworth 7708 +27 (0) 21 657 2120


    25 Richefond Circle
    Umhlanga 4320 +27 (0) 31 536 8843

    United Kingdom


    One Croydon
    12-16 Addiscombe Road
    Croydon CR0 0XT +44 (0) 20 7759 7514



    9 Yarra Street
    South Yarra
    VIC 3141 +613 (0) 8651 4500

    Sable International is a trading name of 1st Contact Money Limited (company number 07070528), registered in England and Wales. We are authorised and regulated by the Financial Conduct Authority in the UK (FCA no. 517570), the Financial Services Conduct Authority in South Africa (1st Contact Money [PTY] Ltd - FSP no. 41900) and hold an Australian Financial Services Licence issued by ASIC to deal in foreign exchange (1st Contact Group - AFS Licence number 335 126).

    We use cookies to provide the best website experience for you. Using this website means that you agree to this. How we use cookies.