It’s difficult for people to accept they’ll ever act negligently in any way towards their clients, but you never know. No-one is perfect, and that includes employees.
A simple error, a miscalculation of figures, or an incorrectly worded document could all lead to a claim against you.
The damages resulting from professional negligence can be extremely high. Legal fees and other costs can be significant. The results could literally put you out of business, whether you are successful in court or not.
Professional indemnity insurance protects you as a professional against claims you may become liable to pay due to a breach of professional duty. It covers the costs of investigating the claim and making all the necessary arrangements with solicitors and barristers on your behalf.