Professional Indemnity Insurance for Interim Managers

Why Professional Indemnity Insurance?

As an independent interim manager you could become liable for claims and litigation.

Professional Indemnity Insurance (PII) will cover you against the cost of litigation, legal costs and damages in case of an action being taken against you personally and your company, by a Client, for your alleged negligence.

By definition Interim Management often means taking on challenging assignments.

In case events take a turn for the worse, PII is there to protect you. It also indicates to hirers of interims that you take interim management seriously and are prepared to back that with professional insurance.

Where to obtain PII?

So how do you obtain Professional Indemnity Cover, how much cover do you need and how much will it cost? Importantly in the unfortunate event of being at the receiving end of a claim how do you know the Insurer will pay out? 

Interimconnect Professional Indemnity Insurance Survey

To get more of a handle on where interims in the Interimconnect network find their insurance we asked members to let us know the following:

" 1) Name of your PI Insurer

2) If possible the Insurers website address and/or contact details

3) Why you would recommend them"

The summary findings are attached in the pdf below. It makes interesting reading.

It would be of value if more of you are now able to respond to the three questions above. In which case I will keep updating the summary findings so as a network member you have a really useful document the next time you renew your Professional Indemnity Cover.

To respond now please reply with your answers to questions 1) - 3) above and any other comments you have either to my e-mail address or using the contact form.

Finally TOP TIP!

Make sure that your PII policy covers not only your limited company but also yourself as an individual. This will not cost any more in terms of premium but will cover you if an action is taken against you personally as well as your limited company.

Please note Interimconnect can make no recommendations on the appropriate PI Insurance policy for you. Interimconnect does not receive any commissions whatsover for any PII policies entered into by interim managers.

If you are an interim manager but not in the Interimconnect network - visit here.

If you are looking to engage an experinced interim manager - visit here.

Latest contribution from a member:

" Hello Mike,

Some time ago you asked members about their experiences with PII.

I have just renewed my ICAEW regulated PII through an online agency called Policybee. The cover is double in value from the previous one and the premium is about a third! The policy is with Hiscox who did my 2014 cover via a different broker and it states that it covers all ICAEW regulations.

I thought I would let you know as this info may be useful to others.

Cheers, Mark"

For more information about Interimconnect call David Bryan on 44 (0) 20 3858 7267 or use the website contact form.

Where Interimconnect members find their Professional Indemnity Insurance - Feb 2014.pdf516.01 KB