Professional Indemnity Insurance also known as PI insurance, Errors, and Omission or Professional Liability Insurance is the cover that protects professional advice and service-providing individuals from bearing the full cost of defending against a lawsuit raised by a client and damages awarded during a lawsuit. It means, if the third party suffers any loss or […]
Articles Tagged: Errors and Omission Insurance
Do past claims cause higher premium in Professional Indemnity Policy?
Yes, past claims impact the premium of a professional indemnity insurance policy. Insurance companies evaluate a firm’s claim records over the past five to ten years as a likely barometer of future incidents. Thus, the size and the frequency of a previous claim is taken into account and has a significant bearing on a firm’s […]
How Much does Errors and Omissions Insurance Costs?
Overview The cost of Errors and Omissions (E&O) insurance depends on various factors such as business size, industry risk level, coverage limits, claim history, and annual revenue. On average, premiums in India can range between ₹7,000 to ₹50,000 per year for small to mid-sized businesses. Tailored quotes are typically provided based on individual business needs […]
How is Indemnity defined under Professional Indemnity Insurance?
A person becomes liable for damage to any property or person caused by the services offered by his business. For providing professional service or advice, a person can face claims of negligence or breach. Under professional indemnity insurance ‘Indemnity’ defines as follows: An indemnity includes claims arising due to the losses or the damages made […]