There are many ways in which you or your business can be held financially responsible for ill action. And this risk is especially high if you own a large corporation or are working as a professional, such as a surgeon, architect, or electrical engineer.
If you’re in the high-risk category for being held liable, then it’s especially important that you have Professional Indemnity Insurance and that you know exactly what to do in the event of a claim against you.
Here’s some helpful advice if a person or another party is holding you liable for bodily injury or damage to their property.
1.Notify Your Broker Straight Away
Before speaking to anyone, make sure you speak to your broker first to inform them of the claim against you.
2. Let the Other Party Know That You Will Be Contacting Your Insurance Broker
You can put the other party’s mind at ease by letting them know that you will be contacting your brokers. Brokers, such as ourselves, will assist by liaising with the other party/person regarding processes and protocols.
3.Do Not Admit Responsibility
Whether or not you feel that you are responsible for the ill act or not, you should never admit responsibility to the person/party claiming against you.
In order for there to be cover for a liability claim in terms of your policy, the other party/person has to be able to prove the damages happened as a direct result of your negligence. Any admission of guilt could equip the other party with ‘ammunition’ to use in their favour. Additionally, by admitting liability, your insurers may feel they have been prejudiced and could reject the claim.
4.Ask Your Broker About the Documents You’re Required to Present
Insurers require specific documentation for liability claims. Your Broker will provide you with the relevant claim forms and advise you what supporting documentation will be required. Make sure you speak to them about this.
These above points are the most important points you need to be aware of when it comes to a liability claim. However, you are always welcome to chat with your broker, should you have further questions regarding the liability claim process.