Professional Indemnity Insurance issue
Discussion
Just won a tender and they now want PI insurance on it in addition to std PL and EL. Stumped up for £25k cover which is more than adequate given value of contract but they want £1m cover. This is costly at around £700.
Broker is back on it but anyone any tips for getting lower cost or specialist cover actually based on a project etc? Its a hyper low risk case study project (and a re-commission, so they like us!) so its quite absurd but its still a box that needs ticking (maybe in case we say something slanderous about Donald 'peach hamster' Trump and that gets past all stages of governmental sign off and he sues!
Thanks
Broker is back on it but anyone any tips for getting lower cost or specialist cover actually based on a project etc? Its a hyper low risk case study project (and a re-commission, so they like us!) so its quite absurd but its still a box that needs ticking (maybe in case we say something slanderous about Donald 'peach hamster' Trump and that gets past all stages of governmental sign off and he sues!
Thanks
Ken Figenus said:
Just won a tender and they now want PI insurance on it in addition to std PL and EL. Stumped up for £25k cover which is more than adequate given value of contract but they want £1m cover. This is costly at around £700.
Broker is back on it but anyone any tips for getting lower cost or specialist cover actually based on a project etc? Its a hyper low risk case study project (and a re-commission, so they like us!) so its quite absurd but its still a box that needs ticking (maybe in case we say something slanderous about Donald 'peach hamster' Trump and that gets past all stages of governmental sign off and he sues!
Thanks
I run a recruitment company placing contractors and our contract requires they have minimum £1mil PI. AFAIK none of them are paying even close to £700 premium. Broker is back on it but anyone any tips for getting lower cost or specialist cover actually based on a project etc? Its a hyper low risk case study project (and a re-commission, so they like us!) so its quite absurd but its still a box that needs ticking (maybe in case we say something slanderous about Donald 'peach hamster' Trump and that gets past all stages of governmental sign off and he sues!
Thanks
I also have a mate who is a broker I'd be happy to put you in touch with, feel free to send me a PM.
Changing insurer mid term is unlikely to be the cheapest option.
Are the broker/insurer able to apply the increase only to this contract? this usually is cheaper
however:
you mention you think given the value of the contract (and bear in mind I don't know what you do so this may not apply) that £250k is enough. However when you think about it the value of your contract has no bearing on it. Its the value of the wider contract that you are working on that needs to be considered
i.e a surveyor has a £10k job which is to project manage the footings going into a new office block build. The footings contract he is managing is £250,000, however the whole building project is £5m. You can see there is a scope for being exposed to a wider risk, and not having enough cover
Are the broker/insurer able to apply the increase only to this contract? this usually is cheaper
however:
you mention you think given the value of the contract (and bear in mind I don't know what you do so this may not apply) that £250k is enough. However when you think about it the value of your contract has no bearing on it. Its the value of the wider contract that you are working on that needs to be considered
i.e a surveyor has a £10k job which is to project manage the footings going into a new office block build. The footings contract he is managing is £250,000, however the whole building project is £5m. You can see there is a scope for being exposed to a wider risk, and not having enough cover
Hoolio said:
Ken Figenus said:
Just won a tender and they now want PI insurance on it in addition to std PL and EL. Stumped up for £25k cover which is more than adequate given value of contract but they want £1m cover. This is costly at around £700.
Broker is back on it but anyone any tips for getting lower cost or specialist cover actually based on a project etc? Its a hyper low risk case study project (and a re-commission, so they like us!) so its quite absurd but its still a box that needs ticking (maybe in case we say something slanderous about Donald 'peach hamster' Trump and that gets past all stages of governmental sign off and he sues!
Thanks
I run a recruitment company placing contractors and our contract requires they have minimum £1mil PI. AFAIK none of them are paying even close to £700 premium. Broker is back on it but anyone any tips for getting lower cost or specialist cover actually based on a project etc? Its a hyper low risk case study project (and a re-commission, so they like us!) so its quite absurd but its still a box that needs ticking (maybe in case we say something slanderous about Donald 'peach hamster' Trump and that gets past all stages of governmental sign off and he sues!
Thanks
I also have a mate who is a broker I'd be happy to put you in touch with, feel free to send me a PM.
When you accept the liability of others (i.e the contractors) this is called vicarious liability, which is excluded under most recruitment PI policies. Please check to make sure you have the right cover before signing clients terms of business. It would also be prudent to make the contractors have the same level of PI cover you are required to have (they wouldn't need vicarious cover as it is their own actions). ps - PI cover including vicarious liability isn't cheap
I used to need £10m cover. I used: http://www.qdoscontractor.com/insurance/business-i...
It cost a lot less than £700
It cost a lot less than £700
nyt said:
I used to need £10m cover. I used: http://www.qdoscontractor.com/insurance/business-i...
It cost a lot less than £700
£258 here as a stanalone - phew! Job done - thanks.It cost a lot less than £700
nyt said:
I used to need £10m cover. I used: http://www.qdoscontractor.com/insurance/business-i...
It cost a lot less than £700
As someone who is just setting up by himself this is a very useful site - thank you very much.It cost a lot less than £700
Simpo Two said:
So in the tender they didn't state this as a requirement, and added it afterwards?
Goalposts, moved.
So how about you complete the work and then just bill them an extra £700, 'afterwards'?
Soz, felling punchy.
Yes - bit unusual for a behemoth with dedicated contracting dept's to bring that up afterwards and AFTER we submitted our costs. At sub £300 though its not worth making waves.Goalposts, moved.
So how about you complete the work and then just bill them an extra £700, 'afterwards'?
Soz, felling punchy.
Ken Figenus said:
Simpo Two said:
So in the tender they didn't state this as a requirement, and added it afterwards?
Goalposts, moved.
So how about you complete the work and then just bill them an extra £700, 'afterwards'?
Soz, felling punchy.
Yes - bit unusual for a behemoth with dedicated contracting dept's to bring that up afterwards and AFTER we submitted our costs. At sub £300 though its not worth making waves.Goalposts, moved.
So how about you complete the work and then just bill them an extra £700, 'afterwards'?
Soz, felling punchy.
nyt said:
I used to need £10m cover. I used: http://www.qdoscontractor.com/insurance/business-i...
It cost a lot less than £700
Thanks for this link.It cost a lot less than £700
My previous insurer was taking the piss. This was just the ticket.
Terminator X said:
As a business owner why wouldn't you have PII regardless? If you ever get sued how were you planning to deal with it?
TX.
I think it really depends on what it is that you do. If you run the risk of screwing up PR for a multinational or a service or product for the NHS or give mistaken legal advice as a lawyer then it would be quite prudent to have it! TX.
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