Protect Your Professional Practice

Professional indemnity insurance is mandatory for certain regulated professions in Kenya, including lawyers, medical practitioners, and some financial services providers. Even when not legally required, many clients and contracts now demand PI coverage as a condition of engagement. It's considered essential risk management for any professional providing advice or services.

The appropriate coverage amount depends on your profession, client contracts, potential liability exposure, and industry standards. Common coverage levels range from KES 5 million for lower-risk professionals to KES 100 million or more for high-risk specialties like medicine or major engineering projects. We recommend assessing your largest potential client claim and typical industry standards for your profession.

Professional indemnity insurance covers financial losses from professional errors, negligence, or omissions in your services or advice. Public liability insurance covers physical injury to third parties or damage to their property. Most professionals need both types of coverage as they protect against different risks. PI covers your professional work, while public liability covers accidents on your premises or during your operations.

Most professional indemnity policies are written on a "claims-made" basis, meaning they only cover claims made during the policy period, regardless of when the work was done. However, many policies include "retroactive cover" for work done before the policy inception date, provided the professional wasn't aware of any circumstances that might lead to a claim. It's important to discuss your specific needs with our advisors.

Contact us immediately if a client threatens a claim or you become aware of circumstances that could lead to a claim. Do not admit liability or make any settlement offers without consulting us. We'll guide you through the process, including notifying your insurer, preserving relevant documents, and engaging legal support if needed. Early notification can help manage the situation effectively.

Some professional indemnity policies include limited cyber liability coverage, particularly for data breach costs arising from professional services. However, comprehensive cyber liability typically requires separate coverage. Given the increasing cyber risks facing professionals, we recommend discussing your specific exposure to determine if additional cyber insurance is needed beyond your PI coverage.