Singapore is a great place for professionals offering specialized services to customers. The reason for this isn’t just because Singapore has a stable economy, but also because it has business-friendly policies that go a long way in helping professionals thrive. That being said, every professional in Singapore needs to keep in mind that things can go from sweet to sour in a matter of seconds. One wrong move, one mistake, one omission, can cause serious damage to your reputation. Even worse, legal action may be taken against you.
To protect your business, brand, or career when you make a mistake that caused physical harm or losses to your client, you need to opt for professional indemnity insurance. But what exactly is PI insurance? How does it work? What should I keep in mind when opting for it? Want to find answers to these questions, if yes, read on, as we will be taking a close look at basically everything you need to know about Professional indemnity insurance.
The following article by Professionalrisk shed light on some risks and traps you need to be aware of when opting for professional indemnity insurance.
Tricks and Traps of Professional Indemnity
The purpose of Professional Indemnity is to protect the professional against legal liability to compensate third parties which have sustained an injury, loss, or damage due to the professional’s negligence or breach of professional duty in the conduct of their profession/business/occupation Read more here.
You likely now know some traps and pitfalls you need to watch out for when opting for professional indemnity. You are also now abreast with some strategic ways to scale through them and protect your business. But do you know that it is now mandatory for professionals in certain industries to opt for PI insurance?
The following article by Bookkeepers shed light on some reasons why ICB practice license holder must have PI insurance.
Professional Indemnity Insurance
In addition to maintaining your policy, it is your responsibility to ensure that you are insured to the right level at all times throughout the year. Under the requirements of the Provision of Services Regulations, you have to disclose information about your PII to clients. Read more here.
You likely now know why it is important for professionals in any industry to have PI insurance. You also now have an idea of the right level of cover you should pick if you are an ICB practice license holder. But do you know the benefits you will enjoy when you have PI insurance? If you don’t, I suggest you read the next article carefully.
The following article by Towergateinsurance shed light on the pros of PI insurance.
Professional Indemnity Insurance Explained
Professional indemnity insurance is a type of liability insurance designed to protect businesses and individuals who provide advice or expertise to third parties. Also known as professional liability insurance or errors and omissions insurance (E&O), Read more here.
You likely now have a clear picture of how PI insurance works, what it protects against, and some strategic ways you can get the most out of it. You also now know the answers to some puzzling questions that are likely going spring up like- how much protection do I need? Is PI insurance good for small business owners?
Final note
The business landscape in Singapore makes it a must-have for professionals who want to have a secured future to opt for Personal indemnity insurance.
As a professional, you may think that you don’t need it because things are going perfectly well right now, or because you are getting massive contracts from your clients and making so much money. But thing could change in an instant.
If you happen to make a mistake or breach a contract, your clients may turn on you because they suffered losses because of your mistake. They may demand compensation and even take legal action. If you don’t have PI insurance, your business, reputation, finances, will suffer. Don’t wait till trouble comes knocking on your door, take action right now, and opt for PI insurance today.