This can affect you because if you cancel your policy, or if the policy lapses and is not renewed, you could potentially have no cover if a claim were to be made against you for work you did during that contract or for work previously completed by you. This applies even if you had insurance in place at the time that the work was done. (To minimise this risk, some companies choose run off cover when they close down completely).

It is strongly advisable that you keep Professional Indemnity Insurance in place if you are not shutting down, but are not in contract. It may be possible for you to reduce the level of turnover on the policy if you are not working, or on a run off basis to ensure that you are fully covered for your previous work.

Providing that you have at least one years’ continuous Professional Indemnity Insurance cover through us, policies from Limited Company Insurance can provide run off cover at 80% of the full Professional Indemnity Policy Premium.

Often contracts can require that your Professional Indemnity Insurance is maintained for a set period of time following completion of the work. This is to provide protection if any errors only come to light in the time after you work has been completed. We recommend that you review your previously signed contracts to make sure that you are not currently in breach of your contract.