Why do environmental consultants need professional indemnity insurance cover?
Environmental consultants perform an increasingly important range of tasks across a variety of industries. They advise their clients on topics such as:
- Waste management
- Environmental impact and climate change
Whether a company is in the planning stage of a project or looking to do remediation work, they often look to an environmental consultant for expert advice. This is where professional indemnity comes in. It's cover that protects policyholders in the event where a client claims against negligent advice.
What does professional indemnity insurance cover?
A host of professionals can benefit from this form of insurance, including environmental consultants.
Professional indemnity insurance is an essential form of insurance cover for many professionals, from real estate agents and architects to PR consultants and engineers. This form of insurance is designed for professionals whose work involves offering expert advice or services to their clients.
The main costs that are covered
A professional indemnity policy helps to cover the costs involved in your defence, including inquiry costs and court costs. There’s also cover for the damages or compensation you are legally required to pay.
Some specific events that could result in claims
These include breach of copyright, incorrect or inadequate advice or design, inadequate supervision and poor work documentation.
How to compare professional indemnity insurance for environmental consultants
Choosing the right insurance cover for your needs is vital, so it’s important that you shop around to find the best policy.
Compare providers first
The first step is to compare a number of insurance providers and find out what each one offers. Finder.com.au contains plenty of information about competing insurers, plus you can also see what sort of information a Google search turns up. Look for an insurance provider with a respected reputation and a history of meeting the insurance needs of businesses. Some companies even specialise in offering this type of cover to certain professionals, so see if there’s one available to suit your needs.
Then review policy features
It’s also a good idea to compare the range and level of cover offered by competing policies. Questions you should ask when looking for a policy include:
- Does one policy offer a higher level of indemnity than another one?
- Are there exclusions on one policy that don’t apply to another one?
It’s also important to read the product disclosure statements to get a good idea of the benefits, limits and exclusions each policy offers. Obtain multiple quotes and factor cost into the equation when weighing up the pros and cons of each policy.
If you need further help, don’t hesitate to enlist the services of an insurance consultant.
Public liability cover for environmental consultants?
Another form of cover that environmental consultants can benefit from is public liability insurance. Though often confused with professional indemnity cover, public liability cover offers a different form of protection. While professional indemnity insurance covers breaches of your professional duty, public liability covers you when you breach your general duty of care to third parties.
This covers your business for activities that cause a third party to suffer an injury or property damage. For example, if a customer visits your business premises, slips on a wet floor and injures themselves, they may decide to sue you for damages.
This is where a public liability insurance policy provides protection. It offers cover for the cost of defending yourself against such claims, including any damages you may be required to pay. If your business is located in a public place, if clients visit your business premises or if you deal with members of the general public, public liability insurance is often an essential consideration.
Get a quote directly from an insurer
Q. Do I really need this type of cover?
- A. If you work as an environmental consultant you should definitely consider taking out professional indemnity insurance. It offers crucial protection against a wide range of common exposures for those in your profession.
Q. How much cover do I need?
- A. This depends on the type of business you run and the services you provide. Other factors such as the size of your contracts and the industry you work in, also need to be taken into account when determining the right level of cover.
Q. What does it mean when a professional indemnity insurance policy is offered on a claims made basis?
- A. This simply means that the policy that provides cover for any costs involved in defending yourself against a claim will be the policy that is in effect when a claim is actually made, not the policy that was in place when you completed the work in question.
Q. I need help finding a policy. What should I do?
- A. If you’ve weighed up your options and you’re unsure what sort of policy will best suit your needs, consider utilising the services of an insurance consultant. Consultants have a wealth of experience at matching business with the right insurance policies and will work in your best interests to help you find the cover you need.
Apply for professional indemnity insurance for environmental consultants
Professional indemnity insurance offers a vital form of protection for many professionals, including those who ply their trade as environmental consultants. When you offer your professional services and advice to clients, they are relying on you as an expert in your field. And even if you think the chances of you letting your clients down are minimal, one simple mistake can result in a client suffering a substantial loss and deciding to sue you for compensation.
If this happens and you don’t have professional indemnity cover in place, you’ll find yourself having to cover the cost of fighting an expensive legal battle. However, if you do take out a professional indemnity insurance policy, you can rest assured that you will have the cover you need to deal with the expense involved in fighting any claims.
If your business needs professional indemnity cover, make sure to compare a range of options before deciding on the right policy for you.