Compliance Consultants Insurance

Suitable insurance to protect consultants from possible claims

Compliance consultants cover a range of responsibilities related to regulations or standards. As such, they can be vulnerable to potential risks that when matters go wrong, a client may hold the consultant responsible for injury or damage caused and / or financial loss. An insurance policy can help mitigate the financial risks that come with the consultancy work. FD Beck can arrange a suitable insurance policies to protect a compliance consultant from the potential costs of claims.

Why do compliance consultants need insurance?

A compliance consultant is a specialist in regulatory procedures to ensure that the corporate firms they work with understand government regulations, standards and legalities. They cater to a wide range of industries, including banking, building, health, accounting, and other industry undergoing regulatory change.

Compliance consultants may provide erroneous or misleading advice which can lead to clients making a demand for compensation against them. In such events, an insurance policy may help cover the cost of claims.

What Kind of Insurance Policy Do Compliance Consultants Need?

As a specialist, a compliance consultant may need professional indemnity insurance and public liability insurance. You can customise your policy according to the terms and level of coverage you require.

Professional Indemnity Insurance

Professional Indemnity insurance protects compliance consultants from claims alleging a breach of professional duty. As you provide professional advice and services, you open yourself to the possibility of error. If your client makes an allegation against you for providing inadequate or wrong advice, it could cost you not only your reputation but also expose you to a financial loss.

A Professional Indemnity policy can financially protect compliance consultants, covering costs of legal defence as well as amounts payable for compensation.

Public Liability Insurance

Public liability insurance is designed to cover claims by a third party for personal injury and/or property damage. Your actions could cause injury to another person while you visit your client’s premises or are out in public carrying out your work. Likewise, if an accident happens whilst a third-party member of the public visits your place of business, you could be held liable.

Public liability insurance is also designed to cover you for damages to the third-party property that you may cause in the course of carrying out your work. The cost of claims by a third party to repair or replace damaged items would be covered by public liability insurance.

Risk Factors Encountered by a Compliance Consultant

Whether you’re a senior or starting consultant, you may be subject to error.

Here are some common exposures related to your profession as a compliance consultant:

Inadequate audit or a client's reporting methods and processes to ensure regulatory adherence
Incorrect evaluation of risk levels and impact
Failure to create corrective plans to stop data and reporting gaps
Failure to design and implement new monitoring tools and processes

Get Assistance from FD Beck Australia

At FD Beck, we understand the risks involved in consultancy work. A claim against you and your services can result in a severe financial loss, which is detrimental to your credibility as a professional. With our team of professional insurance brokers in Australia, we can offer you insights into a suitable insurance policy that fit your requirements.

You can also explore our online tool to request your insurance quote.

FAQ

1. How much professional indemnity cover do I need?

In general, compliance consultants’ professional indemnity insurance covers a range between $500,000 to $10,000,000. It depends on the level of coverage you require. The needs of your business may vary according to size, services, and other insurance factors.

You can schedule an appointment with our brokers to get more detailed advice on our policy. Alternatively, you view our short video “How much Professional Indemnity does a consultant or freelance professional need?“

2. Do all compliance consultants need professional indemnity insurance?

Professional indemnity insurance is mandatory for some professions in Australia. Some clients may even require compliance consultants and other professionals in the consultancy industry to have professional indemnity insurance.

For more information on professional indemnity insurance, view our short video “Why do I need professional indemnity insurance in Victoria?“

3. I have a budget for compliance consultant coverage. Can you create a package based on my budget?

Yes, we can guide you through the whole process and customise your policy within your budget. For more information about the cost of insurance please view our short video “How much does professional indemnity insurance in Melbourne cost?“

4. Is there a way for a new quote to be provided online?

FD Beck offers an easy guide to getting the right policy for you or your business. We also have a professional indemnity insurance quote calculator available on our website to show you various quotes on insurance coverages.