Why choose counselling professional indemnity cover?
As a counsellor any professional may quite rightly be more focused on the needs of their patients and clients than they are on the administration of their business. But having the right insurance cover in place is important, even for small companies and independent counsellors. Counselling professional indemnity cover is a type of policy which guards the policy holder in the event they face legal action after an accusation they have made a mistake. In the right circumstances this can help safeguard the counsellor’s business.
Counselling professional indemnity cover might sound like a complicated product, but in reality is quite straightforward. In short it will help someone if they are sued by someone who feels a counsellor has acted wrongly and made an error. It will also cover things like omissions, accidental breach of confidentiality, unintentional breach of copyright, and even defamation.
Any of these things can end up with a solicitor’s letter arriving through the letterbox announcing a court case. Hiring a legal team to defend such accusations can be expensive and time consuming. In the right circumstances it can cost an awful lot of money and brings some companies to their knees. Professional indemnity cover will help protect a business by paying for its legal bills while sorting out such a case, although certain limits apply.
Working out how much cover someone needs is the key choice in ordering a counselling professional indemnity cover policy. No policy will cover an unlimited amount of legal expense, so some firms supply a sliding scale of protection. So a smaller firm might select protection for legal bills up to, say, £100,000, while bigger companies select cover for hundreds of thousands or even millions of pounds.
Even if a policyholder is unsuccessful in defending the case, and the complainant is awarded compensation, counsellor professional indemnity cover will even pay for this, again up to the policy limit. This means subject to an excess, a business will hardly need to pay a penny towards the defence of a legal action after a successful claim.
Indemnity cover used to be a policy which was only associated with people like doctors and architects, but it is now popular with many people who provide professional advice for a living. It need not be overly expensive and could save a business from going under if they faced a challenging legal wrangle.
Counselling professional indemnity cover can even be arranged so that it will protect you against any retrospective claims, which arrive through the letterbox which relate to something which occurred before the policy was purchased. This is known as retroactive cover, and means even a business which has been slow to get the right kind of policy in place need not worry about something unexpected coming back to bite them.
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