Do sales trainers need professional indemnity insurance?
Many sales & business consultants ask us whether they really need professional indemnity insurance. Unlike some professions, such as accountants or solicitors, professional indemnity insurance is not compulsory for you; however, it makes a lot of sense. Professional indemnity insurance is designed to cover you should accusations be made against you for errors, omissions, negligence or other professional failings, whether justified or not.
The likelihood of a claim is slim, which is why the insurance doesn’t cost much, however if a claim does arise the costs and stress can be significant. The following are all examples of the types of complaints you could face:
- Your client’s business does not grow as well as they expected following your advice
- You assist a client with their salesman recruitment process and then they employ someone who turns out to be a disaster
- A client invests in a CRM or marketing system that doesn’t perform
- You are accused of breaching copywrite of someone else’s methods
- A salesman who has been on your course loses their biggest client and then their job
- You send a confidential email to the wrong person
- You carry out a personality profile that the individual takes offence to
- The new procedures you introduce to a business cause disruption and unrest.
Many of the claims we see are groundless and as a result of the client‘s unrealistic expectations, reluctance to pay for your services or another failure in their business that they are trying to blame on someone else. You don’t have to have done anything wrong, but if you are accused of something you can turn to your professional indemnity insurance to defend you and fund all the legal and professional costs.
In addition, having professional indemnity insurance also demonstrates to your clients that you are a serious professional to be regarded on a par with other trusted advisers, such as accountants and solicitors.
If you would like jargon free advice, give our team a call on 01905 21681 or contact us and we’d be happy to help