The updated PI insurance is tailored for licensed trades such as electricians, carpenters, painters, and other professionals who offer reports, advice, or design services for individual or low-rise residential and commercial projects valued below $10 million. This development addresses the growing need for inclusive insurance solutions that cater to the multifaceted roles tradies undertake in their projects.
Ross Chambers, Head of Financial Lines at Hutch Underwriting, highlighted the challenges brokers face in securing PI coverage for construction-related risks that involve design or advisory components. He noted that brokers often have to piece together multiple policies or endure lengthy response times for well-managed small to medium-sized enterprises. The new wordings focus on clear appetite, streamlined questions, and digital access, simplifying the process for brokers and clients alike.
Key features of the revamped PI insurance include civil liability coverage with limits generally available up to $5 million, and up to $10 million in aggregate. Additionally, cyber cover is included as standard, offering protection against data security breaches, client network infections, and cybercrime losses. Optional extensions encompass sudden and accidental pollution, previous business activities, mitigation costs, and provisions for design and construct scenarios, such as proportionate liability waivers and novated contracts.
These enhancements reflect Hutch Underwriting's commitment to providing tailored insurance solutions that meet the evolving needs of Australian tradespeople. By offering a more comprehensive and accessible PI insurance product, tradies can now secure coverage that aligns with the diverse services they provide, ensuring better protection against potential liabilities.
For tradespeople seeking to safeguard their businesses against professional risks, exploring these new PI insurance options could be a prudent step. Engaging with insurance brokers to understand the specific coverages and benefits available will help tradies make informed decisions that best suit their individual circumstances.
