The following article aims to cover risk assessment and management around Professional Indemnity Insurance.
Comprehensive professional indemnity insurance will cover you if you’re sued because of error, data loss, intellectual property infringement or dishonesty. There are a few things that you can do to help keep your indemnity risk to a minimum:
Avoiding copyright issues
Copyright, trade-marks and other forms of intellectual property are integral parts of modern business, especially in the digital era.
•Be careful what you copy from the internet. Although things online might be used by individuals without any problems, when businesses do this it can cause problems
•Avoid relying on fair use. Some works are allowed to be picked up within ‘fair use’, however this is a complex area of law. To avoid disputes, it’s better not to do this.
•The best advice for avoiding copyright issues is to create your own intellectual property.
Preventing data breaches
One major professional indemnity risk is data breaches. Whether its client data that you’re holding, or your own files – a leak of that data could result in legal action being taken against you. This relates to Data Protection.
Remember: The key to this type of professional indemnity risk management is training and best practice. Most importantly, managers should be informed, and make sure they lead the way in their handling of risky processes.