Professional Indemnity Insurance
Professional Indemnity Insurance (PI), also known as Professional Liability or Errors & Omissions (E&O) insurance, is designed to protect professionals and businesses in Hong Kong from financial losses arising from claims of negligence, errors, omissions, or breaches of duty while providing professional services. This form of insurance is essential for service-based professions such as accountants, lawyers, architects, consultants, and technology providers to safeguard their reputation and financial stability against lawsuits, legal expenses, and compensation demands from dissatisfied clients. In some professions, holding professional indemnity insurance is a regulatory requirement under Hong Kong law
Saving You Time & Money While Shopping For Insurance
Get Free Insurance Quotes
Fill out our inquiry form, and we'll identify the perfect policy to suit your requirements and lifestyle.
Emergency Hotline: +852 2530 2530
Professional Indemnity Insurance
Broad Coverage of Professional Risks
PI insurance typically covers allegations of negligence, errors, misstatements, breaches of duty, breach of confidentiality, and certain types of unintentional intellectual property infringement arising during the performance of professional services
Industries Covered
A wide range of professions rely on PI insurance in Hong Kong, including architects, engineers, consultants, media firms, lawyers, accountants, property managers, insurance brokers, business outsourcing providers, and more
Mandatory in Some Sectors
In Hong Kong, PI insurance is legally required for certain professions such as lawyers, insurance brokers, and other regulated industries to protect clients and uphold ethical standards
Professional Indemnity Insurance FAQs
It covers claims arising from actual or alleged negligence, errors, omissions, misstatements, and breaches of professional duty while providing professional services. It may also cover unintentional defamation, breaches of confidentiality, and certain intellectual property infringements other than patents
Professionals and businesses that provide advice or services such as consultants, accountants, lawyers, architects, engineers, insurance brokers, and other specialist service providers should consider PI insurance. For some professions (e.g., lawyers, insurance brokers), it is a legal requirement
Yes. Under Hong Kong law, members of certain professions including solicitors and insurance intermediaries must carry professional indemnity insurance to operate legally in their respective sectors
No, PI insurance excludes coverage for criminal acts, deliberate wrongdoing, and claims or circumstances that were known before the policy start date
It provides financial protection for legal defense costs, settlements, or damages payable to clients in the event the business is sued for professional negligence or errors, helping to preserve professional reputation and business continuity
Most PI polices in Hong Kong operate on a “claims-made” basis, meaning that the policy covers claims made and reported during the policy period, regardless of when the incident occurred, as long as it falls within the coverage terms
Typical exclusions include claims arising from criminal acts, intentional or dishonest conduct, prior known circumstances, war or terrorism, insolvency or bankruptcy events, and issues occurring outside the defined territory or jurisdiction
Yes, unintentional defamation (libel or slander committed without malice) in the course of providing professional services is often covered by PI insurance policies
