We have provided a brief general description of various covers outlined in this section, this is not intended to constitute or replace personal advice. As always you should read and consider the relevant Product Disclosure Statement to ensure it is suitable for your needs. For personal advice you should contact our office and speak with one of our qualified team.

Professional Indemnity

This cover provides protection for a breach of professional duty, or errors and omissions.  It generally relates to occupations where a client is utilizing their specialist services or obtaining professional advice, and that client suffers a loss be it physical damage or injury or simply a financial loss as a result of the advice (or non advice) provided.

The types of industries that would require this type of cover are;

  • Finance Industry  - Accountants, Financial Planners, Insurance Brokers
  • Real Estate Industry – Real Estate Agents, Valuers, Property Managers
  • Building Industry – Architects, Engineers, Project Managers
  • IT Industry – IT Consultants, Software Designers, Web Designers
  • Recruitment Industry

There are two main components of a Professional Indemnity Policy to consider;

  1. It is a claims made policy wording;
  2. Effect of the retroactive date

A “Claims Made” policy means that it is the policy that is current when you are advised of the claim that will be the one that will provide the cover.

The retroactive date is the date after which incidents are covered.

By way of example you have a Professional Indemnity policy in place from 1 January 2009 to 1 January 2010, and it has a retroactive date of 1 January 2005.

If you are notified of a claim that has arisen after from an incident that occurred on 25 March 2005, you would be covered under this policy as it is in force at the time you have been advised of a claim, and the incident occurred after the retroactive date.

If however in this example the incident occurred on 25 March 2004 (ie before the retroactive date) then you would have no cover.

The “backdated” date that the policy will cover incidents occurring is type of policy is quite technical with issues such as retroactive dates, runoff covers and the claims made basis.

Whilst some insurers seek to place a limit on the retroactive date wherever possible we endeavour to have an unlimited retroactive date.

Professional Indemnity covers act as a policy of defence.  This means that as soon as you are notified of a possible claim, your insurer will step in and appoint legal advisers etc and actively defend the claim on your behalf as well as meet any valid claims.

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At Austbrokers Southern, we listen, we act and we get the job done!

Austbrokers Southern is the South Coast’s leading Insurance Broker providing insurance for businesses and individuals for over 25 years. Austbrokers Southern, previously known as M and F Agencies is the South Coast's leading insurance broker.

Austbrokers Southern is part of the national Austbrokers Network, established in 1985.

Austbrokers significant growth has been largely achieved through the acquisition of equity in selected insurance broking and financial services businesses that allows individual brokers to retain a significant interest in their own broking business.

Austbrokers Southern will provide you with our individual commitment to always look after you, not only at the time of placing the insurance, but providing full support when you have a claim. This is when your insurance really needs to act.

We are known for our integrity and ethical dealings with our clients, insurance providers and colleagues within the Insurance Industry as a whole.