Today in this era of unpredictability, you don’t know what exactly you are going to face in next coming seconds. This is just a general thought for anyone living on this earth. You wait for the next seconds to know what exactly you are going to face. May be some good or may be something that you really don’t like to accept it may be a accident, a loss or anything worst. But how it would be you don’t have to worry about these at all. Everybody wants that If some good comes to you its yours, but how it would be if some worst comes, its again good for you. How?

Professional Indemnity Insurance, yes talking about Insurance, why don’t we get prepares our self for our worst time? Why should we see loss?

Here I would like to take a part of all general people, an IT contractor, a software developer, a software developer. If they really need insurance? Each second of their work is important. They have deadlines, to complete their work, at any second the application may crash, or the resources they are using may crash and the result is delay and lots of many claims from clients.

A software engineer is a person who uses new technology, develops new ideas, implements ideas and finally brings out some good useful applications that helps us in many means. But why should we deny any risk associated with the whole software development process?

There are several claims that can be claimed from any of your client side if client finds himself suffering from some kind of a financial loss, if the project is not delivered on the delivery date or he gets the product and crashes as soon he uses it, or any other bad result of alleged mistakes or omissions on your part. He have rights that sometimes he claims for some substantial legal costs when he is not satisfied with your work.

These are some of the many claims client do, but still there are good number of thinking among the engineers who are aware of Professional Indemnity insurance but, they give out a smile against this thinking that they are complete and perfect engineers and they really don’t need it. IT contractors is a wide category that may have software programmers, network administrator, system integrators or say anyone who is working in any IT sector. Everyone does have many risks that may cause themselves and their client suffers.

Why IT Contractors needs professional indemnity insurance:

1. Insurance will ensure a cover (including the legal expenses and loss up to a upper limit) for a claim from your clients- either for a mistake of yours or a false complaint.

2. Today the clients are looking for the engineers having professional indemnity insurance. If you have indemnity insurance, then it gives you professional edge to you, your firm/service.

3. Professional Indemnity Insurance are fully allowable against taxes (not to mention the PAYE and VAT benefits) and will aid your argument against an IR35 ruling too.