This document is intended for guidance only and no liability is accepted by APDO for any errors or omissions in its content. Please seek expert advice from your insurance broker regarding appropriate insurance cover for your business. Please note that APDO does not recommend any one insurance broker over another, and it is for each member to satisfy himself or herself that their business insurances adequately cover their needs.
It is vital for your own business safety and integrity that you are sufficiently insured. Our industry exposes us to certain risks, dealing as we do with personal property, valuables, matters of confidentiality and a highly personal service.
It is a condition of membership of APDO that every member business has Public Liability and Professional Indemnity insurance and submits documentary evidence within one month of joining.
You must have at least Public Liability and Professional Indemnity Insurance.
a) Public liability Insurance protects you if you are responsible for causing injury or damage to people or property either directly or indirectly through your business. In the event of any claim being made against you, your Public Liability policy will pay for the cost of rectifying any damage caused, or paying any medical expenses. Your policy should also pay the costs for you to be legally represented in the event of any claim being made against you.
b) Professional indemnity covers you for professional negligence in the event of another party bringing a claim against you in relation to any of the professional services you offer, including advice you have given, breach of copyright or confidentiality, or your negligence – in any of these instances, you would be indemnified. Your Professional Indemnity policy should cover the cost of rectifying any damage caused through your business activities, as well as being legally represented in the case of a claim being made against you. This type of policy will cover you if, for instance, a client claims you have discarded something of value.
You may also wish to consider other types of Insurance, depending on your business needs and requirements (please take professional advice on your individual business needs) including:
a) Personal Accident cover / Key person insurance – this will cover you for any injuries to yourself or loss of earnings suffered as a result of hurting yourself when working in your business, whether at your own premises, or those of a client, for instance, if you fall over or otherwise hurt yourself in a way which means you need to take time off work. Please check your policy carefully, as this type of cover is often not included in other standard policies and may be needed as a standalone add-on.
b) Office Policy – this policy would cover things such as your PC and other equipment, any stock you hold, cash in transit etc in the event of any damage being caused to such items in various different circumstances.
c) Product Liability – if you provide any kind of products at all to your clients, then in the event that something goes wrong with such product, causing damage or harm to your client, this policy would indemnify you, since you would be legally responsible under contract law, and rectify any damage caused or pay out an appropriate amount of damages.
d) Employer’s Liability cover – this Insurance (designed to protect business owners against many of the risks associated with taking on employees) is mandatory if you have any employees.
e) Motor Insurance – please check your Motor Insurance policy and, if necessary, ensure that your policy covers you for business use if you plan to use your vehicle for business purposes.
Westminster Indemnity – APDO has an affiliation with Westminster Indemnity who provides a combined Public Liability and Professional Indemnity package, providing cover of £1 million with an option to increase to £2 million for an increased premium. No excess is payable except in the Republic of Ireland. The usual premium is around £120. Members should note that for each new policy taken out or renewed, APDO receives a small referral fee. This money is then reinvested in the work of APDO for the benefit of all members and provides us with approximately £600 income annually (as at 2016).