A higher price of oil and related products has swung an awful lot of attention towards how businesses and the public can cut emissions and expenditure through being more fuel efficient. Some companies may even rely on improving the way they use fuel in order to survive because of soaring prices – this reliance and some hidden risks associated with it mean some consultants take out fuel efficiency consultant indemnity insurance.
There is now more opportunity for the role of the fuel efficiency consultant, some of whom may find they are facing a sudden increase in demand. Professionals may even be thinking of setting up on their own as a freelance. Anyone looking to move into this sector could do well to consider some of the more detailed implications, such as what type of insurance they might need during the conduct of their business. As consultant, a fuel efficiency contractor is seen as a hired professional whose advice may be heavily relied on. Mistakes might be rare, but potentially very costly. One wrong recommendation could seriously harm a company.
Say for example a fuel efficiency consultant recommends a courier firm retrain its drivers to use certain methods at the wheel, designed to cut petrol consumption. What if this advice contained an error which actually led to a company spending even more money? The firm concerned might seek to bring a legal case against the fuel efficiency consultant in question to recover the financial loss they incurred. This is where a fuel efficiency consultant indemnity insurance policy can come into play.
This type of cover can kick in and pay any legal costs of defending a case which arises from an alleged mistake made by a consultant during the normal duties of their business. This can be crucial – defending a legal case can involve a bill running to tens of thousands of pounds or more – a sum few consultants would be able to deal with comfortably.
A fuel efficiency consultant indemnity insurance policy will also usually protect an individual or company should they face being sued for libel having committed unintentional defamation. A consultant can also be entrusted with data or documents by a company – what if they were to lose them or damage them accidentally? A case for damages might arise again, and again a policy will typically cover this.
Indemnity insurance usually involves a regular premium, similar to other insurance policies. An excess will also usually apply – so if a policyholder has an excess of £800, they must pay the first £800 in legal bills before the insurance company starts to pick up the tab. A limit on payouts will also apply – so an insurer might pay for a legal defence up to £400,000 but no further. The level of cover which is agreed will therefore affect the premium.
Although this premium may seem like an inconvenient extra cost for a freelance or firm, the fuel efficiency consultant indemnity insurance it provides could one day prove a crucial safety net.