Claims Process
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How do I determine what my Insurance Policy covers me for
Last Updated: June 19, 2025The two key documents to review are your Policy Schedule and the Policy Wording. The Policy Schedule provides a summary of your cover. It outlines: Your individual policy limits Insured items Excess amounts, and Any special conditions or endorsements. The Policy Wording explains the cover in more detail. It outlines: What is included, What is excluded, How claims are managed, and Your responsibilities as the insured. If you are unsure how to interpret these documents or would like help understanding what applies to your business, we are always happy to walk through them with you and highlight the sections that matter most. Please feel free to contact us with any questions you might have.
When do I pay my Deductible (Excess) in a Professional Indemnity Claim
Last Updated: June 19, 2025In a Professional Indemnity claim, your excess, also referred to as a deductible, is usually payable once the insurer begins incurring costs related to your claim. This may include legal expenses, investigations, or settlement payments, depending on the structure of your policy. There are two main types of excess: Costs ‘Inclusive’ means your excess applies to both defence costs and any settlement amount. You may be required to pay your excess early in the process, once legal expenses begin. Costs ‘Exclusive’ means your excess only applies if the insurer pays a settlement or judgment. In this case, you may not need to pay your excess unless the claim results in a financial payout to the other party, saving you from having to pay your excess towards defence costs incurred on the claim. We will review your policy wording with you and explain when and how your excess applies, so you know what to expect if a claim arises.
How long does a Professional Indemnity Claim take to settle?
Last Updated: August 4, 2025Professional Indemnity claims can generally take anywhere from a few months to several years to resolve, depending on the complexity of the issue. Claims involving legal proceedings, expert witnesses or disputes over liability tend to take longer. We are, however, engaged in some minor matters that can be sorted within a week or two. Once a claim is lodged, insurers will usually act quickly to appoint legal advisors, notify any third parties involved and begin reviewing the circumstances. However, the process often involves: Investigating the details of the claim Reviewing client contracts, communication and deliverables Engaging external experts to provide reports or opinions Negotiating with the other party or their legal representatives These steps can take time, particularly if the matter involves litigation or multiple stakeholders. We will work with you and the insurer throughout the process to make sure your interests are protected and you’re kept up to date. Contact us if you have received a complaint or potential claim and want to understand what happens next.
When does a Professional Indemnity Claim start?
Last Updated: August 4, 2025A Professional Indemnity claim generally starts when you receive a written demand, complaint or notice alleging an issue with your advice, service or professional conduct. This could include: A request for compensation A formal letter of complaint Notification of legal action or proceedings Professional Indemnity policies are issued on a claims-made basis. This means the timing of the work does not determine the cover. Instead, the key factors are: When the claim is made When your policy is active Because of this, it is important to notify us as soon as you become aware of a potential issue, even if no formal claim has been made. Early notification allows your policy to respond and helps preserve your legal position if the matter escalates. Contact us if you think a situation might give rise to a claim or need guidance on next steps.
What happens in a Professional Indemnity Claim
Last Updated: August 4, 2025A Professional Indemnity claim usually starts with an allegation that you have made a mistake, left something out, or breached your professional duty. This could come in the form of a client complaint, demand for compensation or a legal notice. Once the claim is notified, the insurer will typically: Appoint a claims officer or legal adviser to manage the matter Investigate the details of the allegation, including your response and supporting documents Cover your legal defence costs, even if the claim is unfounded Negotiate or pay compensation if the claim is upheld or resolved through settlement These claims can take time to resolve, especially if the issue is complex or involves legal proceedings. We will work with the insurer on your behalf, keep you informed throughout, and support you through each stage of the process. Contact us if you have received a complaint or believe a situation may result in a claim.
How do I notify a Professional Indemnity Claim?
Last Updated: August 4, 2025If you become aware of a potential issue such as a complaint, dispute or request for compensation, it is important to speak with us as early as possible. You do not need to wait for a formal legal claim or a letter from a lawyer. Early indicators of a potential professional indemnity claim may include: A client is raising concerns about your work Refusal to pay an invoice due to dissatisfaction Suggestions that you made an error or caused financial loss To notify a potential claim or circumstance, we will guide you through the process. This may involve providing: A brief description of the issue or allegation Any relevant emails, letters or communication from the client Supporting documents such as contracts, advice given or project notes We will liaise with the insurer, manage the lodgement of a claim form and keep you informed throughout the process. Timely notification is critical. If you are unsure whether something needs to be reported, it is always best to contact us so we can advise you and help protect your position.