Benefits of maintaining professional indemnity insurance cover for your business include:

  • Peace of mind.
  • Saving your valuable time in the incidence of any allegation.
  • Reducing the possibility of an interruption to your business.
  • Reducing the probability of lost income arising from an interruption to your business by providing time that would be required to defend an allegation without Professional Indemnity insurance. 


  • Knowing there are legal professionals in the claims department waiting to take care of any allegation made against you
  • Knowing any claim will be represented by solicitors experienced in the area of Professional Indemnity insurance.
  • Knowing the legal costs incurred will not only be covered by a Professional Indemnity policy, but will be reduced because of the experienced professionals engaged to defend your claim.     


Examples of professional Indemnity insurance policy features include:    

1. Breach of Confidentiality

Covers a failure to preserve the confidentiality of information acquired during professional appointment and where the confidential information is used to the detriment of the client.

2. Breach of Duty

Covers any breach of duty (including breach of duty of confidentiality), in the provision by the insured of the professional services stated in the policy schedule. 

3. Dishonesty or Fraud

Covers claims by a third party for loss alleged to have resulted from a dishonest, fraudulent, criminal or malicious act or any breach of fiduciary duty committed by any person entitled to indemnity under this policy. No cover is intended for a loss suffered by the insured.

4. Inquiry (or Inquiries)

Covers legal costs and expenses for representation of the insured, regarding any legal or quasi legal inquiry the insured is legally required to participate by reason.  The body conducting the inquiry (including regulatory, licensing or statutory body) has legal jurisdiction over the insured.

5. Loss of, or Damage to Documents

Covers loss of documents, or damage to documents, that were in the insured's physical custody or control at the time of the loss or damage.

Documents include electronically stored data, software or computer programs for, or in respect of, any computer system that does not include bearer bonds, coupons, bank notes, currency notes, or negotiable instruments.

6. Reinstatement of the Policy Limit

Once the policy limit is exhausted, it will reinstate to have that limit available for additional claims within the same policy period. Therefore, the amount paid for all claims covered by the policy, is up to a maximum of twice the policy limit in the policy period. However, the policy limit is the maximum amount paid for any one claim or a series of claims arising from the same act, error or omission.

7.  Unintentional Defamation

Covers unintentional defamation, whether libel (written or published) or slander (spoken) committed by an insured person.

8. Unintentional Infringement of Intellectual Property

Covers unintentional breaches of intellectual property or moral rights, under the Copyright Act 1968, by the insured or an insured person. Intentional breaches or acts that cause a third party loss, with reckless disregard for the consequences, are not covered.

Disclaimer“This material contains general information only and may not suit your particular circumstances. To decide if a policy is right for you please carefully read the relevant Product Disclosure Statement (PDS) and/or Policy wording. While we have exercised due care and skill in preparing this information, Optimum Insurance Services (Optimum) does not accept any legal responsibility or liability for negligence or otherwise to you or anyone else who seeks to rely on this information. This includes, without limitation, loss arising from a possible failure of the information to comply with statutory or regulatory requirements or the failure of the information to identify other terms and conditions beyond those considered in this document. You should obtain advice to ensure that your policy provides adequate cover for your circumstances.

“Optimum Insurance Services Pty Ltd is a Corporate Authorised Representative of Insurance Advisernet Australia Pty Ltd (Car No. 291220), Australian Financial Services Licence No 240549, ABN 15 003 886 687.”

Download Our Free Insurance Guides

Business Owners Guide To Risk & Insurance Protection

Business e-book cover

Business Owners Guide to Professional Indemnity Insurance

Professional Indemnity Insurance Guide

Business Owners Guide to General Insurance Claims

Insurance Claims Procedures Guide And Checklists


Optimum Insurance Services Pty Ltd is a Corporate Authorised Representative (No. 291220) of Insurance Advisernet Australia Pty Ltd (AFSL No. 240549).


© Optimum Insurance Services Pty Ltd 2006 - 2021

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