Insurance · 11 September 2015

Insurance in action Professional indemnity insurance for micro businesses

One business was able to claim to support the refund charges of a sofa
One business was able to claim to support the refund charges of a sofa
We think that exploring some real-life claims is the best way to teach businesses about insurance, so in our insurance in action series were looking at the core covers at work.

Last month we covered public liability, so this month were looking at professional indemnity insurance a cover built for businesses that offer advice professionally.

Popular amongst consultants and contractors, it works to protect you from professional mistakes. So, without further ado, lets look at the cover in action.

Sad men

A policyholder produced an advert for a client and sought some unique music for the backing track. Sadly, the music he commissioned wasnt quite as unique as he expected and he was told hed infringed copyright law. The policyholder faced a hefty bill but his professional indemnity insurance helped counter the costs.

Total settlement: 27, 174

Made to measure (incorrectly)

An interior designer ordered a sofa on behalf of a customer, but unfortunately theyd made some mistakes with the measurements. The sofa was too large for the room so they sought a refund from the supplier, however they refused to budge and take the sofa back. The designer claimed on their professional indemnity insurance and was helped with shouldering the costs.

Total settlement: 5, 141

Take me to church



Keith Lynn is a senior product manager at Simply Business, with almost ten years of experience both working and studying in the insurance industry. He has been with the company for four years as part of the products team. Much of his time is spent working with numerous insurers to improve the products they offer through Simply Business. Prior to his current role, he obtained a BA in International Insurance and European Studies at the University of Limerick.

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