
The responsibilities that professionals have to their clients
have changed. As with solicitors and
accountants, contractors provide professional advice to their
clients which are relied on by their clients. As a
consequence you no doubt act with a reasonable degree of care and
skill in order to ensure that your clients' interests are
protected.
However even where care and skill is exercised there is still the
potential for you to make a mistake that causes financial loss to a
client or for a client to allege that you have made a mistake even
if you have not. Whilst such disputes are rare, when they occur
they can be costly, Professional Indemnity Insurance will for a
modest premium provide you with peace of mind against this risk.
We are aware of a PI Claim against an IT contractor
in excess of £625,000.
More specifically the policy will protect you against the cost of
defending claims where it is alleged that a client has suffered
financial loss as a result of your error, omission or
negligence.
In addition having this insurance will give your clients the
reassurance that there are sufficient resources to handle any
recourse in the unlikely event of an alleged breach of duty, adding
value to any tender.