Whether you run your own company or are in a managerial position, you often need to make key business decisions. At some point you may need to seek professional advice on risks and how to mitigate them. Risk mitigation is both preventive as well as cost-effective.
It is very important for businesses to be prepared for risks in all areas of their operations. This readiness comes by acquisition of the right form of commercial insurance. To maximize the protection of business, companies are encouraged to acquire professional indemnity insurance for engineers (PII).
What is professional indemnity insurance for engineers?
An indemnity policy serves as a cover against claims or allegations of insured professionals, aimed at compensating their clients or organisations they have worked with.
Professional indemnity insurance can be an absolute lifesaver when it comes to providing legal indemnity and compensation in case you are held liable for a mistake on your part. It is practically a necessity for those working for the public. As an engineer, you have the responsibility of ensuring that public safety is never compromised. Hiring the right insurance brokers is thus a guarantee against financial losses.
For more information about professional indemnity insurance, you can refer to insurance blogs, videos and online content.
Important points to consider while hiring an insurance broker
Professional indemnity insurance is one of the most high-risk insurance products, which needs a thorough study before selecting an insurer. We have put some tips for you to select the best insurance broker.
- Experience with your industry: If your broker’s experience is limited to one industry, it’s likely that they’ll not be able to help you very much when it comes to finding an appropriate policy for your business.
- Friendly and easy-to-reach: You need someone who can answer questions quickly and efficiently not just on their website but via phone or email as well.
- Availability: If they’re too busy with other clients or projects, then it might be hard for them to get back in touch with you quickly enough when something goes wrong at work.
- Track Record: Insurance brokers with a good track record will be able to help you find the right policy at a competitive price. They will also be able to advise you on any changes that may be needed in your existing policy.
- Reputation: Make sure that the broker has a good reputation within the industry and is known for their customer service skills. If they have been around for a while, this is likely to be due to their high standards of service and professionalism which will help ensure a positive experience for you when dealing with them on your insurance needs.
- Reviews and Recommendations: If possible, try talking to other people who have used the services of your chosen broker before making up your mind about whether they are suitable for your needs.
- Licence: Make sure that the broker is licensed and has been in business for at least three years before hiring them. You also need to check their experience and reputation in the industry.
- Quick Turnaround time: A good broker will be able to provide you with a quote within 24 hours after receiving your request for information about their services. Ensure they have quick turnaround times when dealing with enquiries or queries from clients.
- Diversified Coverages: A professional indemnity insurance broker should be able to offer a wide range of coverages. They include sole practitioners, partnerships, corporations, public bodies, charitable organizations, government entities, educational institutions, and non-profit organizations.
- Risk: The professional indemnity insurance broker should be able to tailor coverage for specific risks based on your business needs.
An insurance broker will save you time and effort, taking care of all the things that you as an individual adviser would need to do yourself when purchasing a PII policy.
These are a few vital points you must consider before deciding which broker to go with. What works for one small business may not work for another, so it’s important to select the broker that best meets your needs.
Remember, indemnity insurance is one of the vital aspects of your risk management strategy. Armed with this information, you will be better able to make an informed decision about which broker is right for you.