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.
Based on the regulations of the Association of Certified Public Accountants of Cyprus (CPA), its members must have professional liability insurance with minimum limits of €200,000 or the equivalent amount of 10% of annual royalties, whichever is greater for each claim
The policy covers
The Insured’s legal liability from negligent acts or omissions of himself and his employees in relation to their professional activities
The policy is addressed
To Accountants and Auditors
Covers
The Insured’s legal responsibility for paying compensation to his clients and other persons for claims related to his breach of professional duties due to his negligent act or omission
Defense Expenses authorized by the Company
Loss of Documents
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
Based on the manual of the Association of Chartered Accountants of Cyprus (SELC):
Accountants
Auditors
Based on decision of the Health Insurance Organization (GESY):
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.