Professional Indemnity Insurance
Protect your business and reputation with Professional Indemnity Insurance.
If a client claims your advice, design, or work caused them financial loss, this cover helps with legal costs and compensation – so one mistake doesn’t put your business at risk.
What is Professional Indemnity Insurance?
Professional Indemnity Insurance covers you if a client claims your professional advice, design, or service caused them financial loss.
If you’re accused of negligence, an error, or an omission in your work, professional indemnity insurance can help cover:
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Legal defence costs
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Compensation payments (if a claim is upheld)
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Claims linked to professional mistakes or poor advice
It’s important to know this is different from Public Liability Insurance.
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Professional Indemnity Insurance covers financial loss caused by advice, design, or professional services.
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Public Liability Insurance covers injury or property damage caused by your business activities.
If you provide advice, drawings, calculations, specifications, or sign off work, Professional Indemnity Insurance is worth considering.
Who needs Professional Indemnity Insurance?
Professional Indemnity Insurance is designed for tradespeople who offer advice, design, or specialist services as part of their work.
This can include:
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Electricians who design or sign off installations
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Heating and ventilation engineers
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Builders and contractors working to specifications
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Shop fitters and commercial refurbishment specialists
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Refrigeration and air-conditioning (RAC) engineers
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Any trade where advice or technical input forms part of the service
It isn’t a legal requirement for most trades. But some contracts require it. And if your work could lead to financial loss for a client, it’s an important layer of protection.
Whether you’re a sole trader or running a growing business, Professional Indemnity cover helps protect your reputation as well as your finances.
What do we cover?
- Heating and Ventilation professionals who install and service heating systems
- Professional tradespeople including Builders and Electricians
- Commercial Refurbishment specialists and Shop Fitters
- Refrigeration and air-conditioning (RAC) engineers
- Professions that give advice as part of their service
What's Covered?
Depending on the policy, Professional Indemnity Insurance can cover:
✔ Legal defence costs linked to negligence claims
✔ Compensation if a client suffers financial loss due to your advice or design
✔ Errors or omissions in professional recommendations or plans
✔ Claims arising from professional services provided to clients
Example:
If you design pipework for a build and there’s a fault in the design that leads to financial loss, Professional Indemnity Insurance can help cover the cost of rectifying the issue and defending a claim.
What's not covered?
Professional Indemnity Insurance doesn’t cover everything. For example:
✘ Intentional wrongdoing or fraud
✘Damage to your own tools or equipment (see Tools Insurance)
✘Injury to third parties (see Public Liability Insurance)
✘Injury to employees (see Employers’ Liability Insurance)
Professional Indeminity is designed specifically for professional mistakes – not physical accidents or property damage.
Why choose Trade Direct for Professional Indemnity Insurance?
Specialist cover for trades
We cover over 70 recognised trades, built around the real risks tradespeople face.
Underwritten by serious insurers
We work with major insurers including Zurich Insurance Co Ltd, so your cover is built to last.
Straight-talking support
Our UK-based team understands the trade. No jargon, just clear answers.
Flexible packages
Professional Indemnity is available within our wider business insurance packages, alongside Public Liability, Employers’ Liability (if required), tools and more.
Serious cover. No nonsense
Your Cover Options
Classic
The Classic package includes £100,000 Professional Indemnity cover, alongside Public Liability, Employers’ Liability (if required) and Tools cover. The level of cover for PI, PL, EL and legal defence costs is fixed within the package.
Ideal For:
Tradespeople who provide advice, design work, or professional services and need Professional Indemnity protection built into a wider policy.
- £100,000 Professional Indemnity cover
- Public Liability cover
- Optional addition of Employers’ Liability Insurance
- Legal defence costs included
- Tools cover available
Plus
The Plus package includes everything in Classic, with an additional Temporary Total Disablement benefit.
Ideal For: Tradespeople who want core protection, plus a weekly benefit if they’re signed off work due to injury (subject to policy terms and deferment period).
- £100,000 Professional Indemnity cover
- Public Liability cover
- Optional addition of Employers’ Liability Insurance
- Legal defence costs included
- Weekly Temporary Total Disablement benefit up to £600 a week per person
Optional Extras for Tradespeople
You can also choose from optional extras and separate additional policies to expand your Professional Indemnity coverage, depending on your business needs:
- Tools Insurance: cover for tools and portable equipment can be added to your Professional Indemnity package, including 24/7 cover in locked vehicles (subject to terms)
- Employers’ Liability Insurance: available as an optional addition to your Professional Indemnity cover, employers’ liability insurance is required by law if you have employees (with some exceptions)
- Legal Expenses Insurance: cover for certain business-related legal disputes, available as a separate policy.
How much does Professional Indemnity Insurance cost?
Professional Indemnity Insurance cost depends on several factors, including:
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The type of trade you do
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The level of cover you choose
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Your business size and turnover
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Your claims history
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Whether you need additional covers
Some trades and higher-risk work can result in higher premiums. The only way to get an accurate price is with a tailored quote.
With our digital-first system, you can get a quote in minutes.
Professional Indemnity Insurance vs. Public Liability Insurance
Professional Indemnity Insurance
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Covers financial loss caused by advice, design, or professional services
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Focuses on negligence, errors, and omissions
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Relevant if you give advice, create plans, or sign off work
Public Liability Insurance
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Covers injury or property damage to third parties
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Focuses on accidents and physical damage
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Relevant if you work on-site or interact with the public
Many tradespeople choose both, depending on the type of work they do.
Learn more by watching our helpful “Does Professional Indemnity Insurance cover Public Liability?’ video, or by downloading our simple infographic explainer.
Professional Indemnity Insurance FAQs
Public liability
Tools insurance
