Importance of Professional Indemnity Insurance for Adjusters

Clients expect a lot from their adjusters. Sometimes, if those expectations aren’t met, clients tend to hold their adjusters accountable for whatever loss they may experience. 

As an insurance agency or adjuster, professional indemnity insurance will help protect you from those situations. One of its advantages is making sure you afford the legal costs of defending your position. 

Here’s everything you need to know about professional indemnity insurance for adjusters and insurance agencies.

What Is Professional Indemnity Insurance?

Also known as professional liability insurance or PI insurance, it covers legal costs and expenses spent in your defense. 

Professional indemnity insurance covers damages/costs billed on you if your advice, services, or designs have caused your clients to lose money. 

It’s just something professionals in the insurance industry must have, especially in this time of crisis. 

Why Does an Insurance Company Need Professional Indemnity Insurance?

Protection is first and foremost, the main reason why insurance agencies need professional indemnity insurance. 

No adjuster intentionally puts their clients at risk, but when outcomes go wrong, this insurance would be a nice way to defend them and clear their name. 

Doing so is not only beneficial for the adjuster themselves as it also saves the company’s image. 

Claimants naturally get emotional over insurance losses, which leads to unpredictable reactions that could hurt the company’s reputation. 

There are also times when the adjuster or the company itself may have done something wrong or neglected certain parts of the claims process. 

In that case, having professional indemnity insurance can help them get the best legal defense they need. Cases like this come wih astronomical costs. 

How Much Does Professional Indemnity Insurance Cost?

Costs for professional indemnity insurance vary depending on the industry. It may be higher for property insurance companies compared to graphic design companies due to the difference in risk levels. 

Professional insurance indemnity costs as low as $20 to several hundred dollars per month according to Cover Wallet. But it’s generally inexpensive for industries where having this insurance is a standard. 

There are plenty of companies out there offering affordable professional indemnity insurance for property insurance companies. You just have to find which one best suits your needs and budget.

How to Avoid Losses by Hiring a Third-Party Property Insurance Claim Company

Staying on the safe lane and getting a professional indemnity insurance is a must in the property insurance industry. 

So is making sure your claims and estimates are of high-quality to avoid conflict and losses. But with your company’s many operations, it’s easy to overlook these little important things. 

Good thing is that you can always hire a third-party property insurance company to review your claims. 

Here at Accuracy Improvement, we have an elite staff of experienced claims handlers who can do the following for you:

• Create high-quality estimates within 24 hours of receiving the order
• Review the quality of claims
• Help optimize the claims handling processes of property insurance companies
• Conduct customized training for property insurance adjusters 

Contact us for a FREE estimate.