Introduction
Professional Indemnity Insurance also known as Omissions and Errors, is an insurance that protects the insured professional against claims that a professional service provided, resulted in financial loss to the client due to errors or omissions or failure to perform or complete a service. This type of protection is not part of any general liability insurance.
Even the most diligent professional runs the risk of making mistakes. Professional Indemnity insurance allows you to continue practicing your profession and at the same time have a peace of mind.
The policy covers
The personal legal responsibility of the Directors and Officers of the company for the payment of compensation to natural and/or legal persons who have suffered financial loss as a result of wrongful acts and/or omissions in their capacity as Directors and Officers.
In addition, it covers the loss of the company itself for the payment of compensation to natural and/or legal persons who have suffered financial loss as a result of wrongful acts and/or omissions committed by the Directors and Officers in their capacity.
The policy is addressed
To Executive or non-executive Board Members and company officials and management.
Covers
The personal legal responsibility of the Directors and Officers of the Company for the payment of compensation to natural and/or legal persons who have suffered financial loss as a result of wrongful acts and/or omissions in their capacity as Directors and Officers.
Covers include defense costs and other related costs
Frequent questions
Is Professional Liability Insurance mandatory?
Mandatory is an insurance that a law or regulation imposes on individuals or businesses. In Cyprus, Professional Liability insurance is mandatory for the following occupations.
For the issuance of their license to practice their profession:
Insurance intermediaries
Real estate agents
Lawyers
Basis of the manual of the Association of Chartered Accountants of Cyprus (SELC):
Accountants
Auditors
Basis of decision of the Health Insurance Organization (OHI):
Health care service providers
In addition to:
Research companies
Insolvency consultants
Clarification
The above information may differ from one Insurance Company to another. Depending on the insurance policy that will be proposed to you, you will get all the relevant information you need, so that you can decide on your own choice. Request our offer today. Based on your own insurance needs and budget, we will choose the right insurance for you.