Why Should One Consider Professional Indemnity Insurance?

Here’s why thousands of professionals across India are opting for Professional Shield:

Legal Protection

It covers defence costs and damages arising from claims of misrepresentation, breach of duty, or professional misconduct.

Peace of Mind

You focus on delivering services, while the policy takes care of legal uncertainties.

Business Continuity

A single lawsuit can cripple your practice. PI coverage ensures continuity, even in challenging times.

Client Trust

Many clients today prefer working with insured professionals, especially in sectors like healthcare, consulting, and financial services.

What Does It Cover?

• Professional Liability
• Court Attendance Costs (₹1,000 per day)
• Loss/Damage of Documents (up to 1% of the sum insured)
• Extended Reporting Period (90 days)
• Optional Add-ons:
  • Breach of confidentiality
  • Defamation
  • Intellectual property
  • Pre-litigation costs
  • Retroactive cover

How to Buy the Policy?

To make things easier, Tata AIG has a well-structured Professional Shield Proposal Form. Here’s a step-by-step walkthrough:

Step 1: Download the Proposal Form

It is available via RIGHT FINANCIERS or can be obtained from your insurance advisor.

Step 2: Fill in Proposer’s Details

Why it matters: These are the basic identification and contact details of the applicant (individual or firm).

You’ll need to provide:

• Name, address, email, and contact number
• Date of incorporation (for firms)
• Type of organization: Individual, Partnership, Trust, Company, etc.
• Professional council membership (e.g., MCI, ICAI, Bar Council)
• PAN, Aadhar, GSTIN

Step 3: Specify Your Professional Business

Why it matters: Helps the insurer assess your risk profile.

You’ll be asked to describe:

• Type of services offered
• Any specific specialization
• Number of years in practice
• Revenue or gross fees (for the previous financial year)

Step 4: Select the Limit of Liability

Why it matters: This is the maximum amount the insurer will pay in case of a claim.

Choose based on:

• The size and nature of your practice
• Industry risk level
• Client expectations

Step 5: Answer Claim History Questions

• Have there been any errors or omissions claims in the past three years?
• Any knowledge of pending litigation or known risks?

Why it matters: Honest disclosures prevent future claim rejections.

Step 6: Provide Payment and Banking Information

Choose your preferred mode of payment (cheque, credit card, bank transfer). Then, provide:

• Name of bank
• Account number
• IFSC code (for refund/claims)

Step 7: Sign the Declaration

Why it matters: Confirms your consent, understanding of the policy, and AML (anti-money laundering) compliance.

Also includes a verbal declaration section if the proposer is not signing in English or uses a thumbprint.