There is no single Professional Indemnity limit suitable for every Interior Designer. The amount should reflect contractual requirements and the business’s actual professional exposure.

What factors should be considered? #

Relevant matters can include:

• Required limits in client contracts.
• Largest and typical project values.
• Residential or commercial work.
• Design, specification and project management services.
• Responsibility for consultants or trades.
• Potential redesign, rectification and delay costs.
• Product specification and supply exposure.
• Claims history.

Project value is only one consideration. A claim may involve replacement of specified products, professional fees and client financial loss.

How does the policy limit operate? #

Check whether the limit applies to each claim or in the aggregate across the policy period, and whether reinstatements are provided.

Defence costs may reduce the available limit or apply in addition, depending on the wording.

Should the limit change as the business grows? #

Review the limit when the business undertakes larger or more complex projects, increases commercial work, assumes broader project management responsibility or supplies higher-value products.

Webber Insurance can provide a high-level review of contract requirements and help compare available limits and policy structures.