If you offer management consultancy services, you’ll face numerous professional risks in your line of work. This could result in your clients making a claim against you.
The right insurance can cover you for most claims, ensuring that you or your business will be able to bounce back from nearly anything.
In this post we’ll look at some of the common claims that management consultants might have to deal with, before exploring the sort of insurance products that will cover you for these claims.
Common Claims for Management Consultants
- Negligence and Dishonesty Claims – As a management consultant, your clients depend on your experience, insights, and advice. They might take huge business risks based on your recommendations. But if this ends up costing them money, they might make a claim against you on the grounds of professional negligence or dishonesty.
- Data Breach Claims – If you use tablets, laptops, or smartphones as part of your work, then you’re vulnerable to cybercrime. If a cyber criminal steals some valuable client or customer data from your devices or network, your clients may make a claim against you for any financial or reputational losses they suffer as a result of the breach.
- Public Liability – Do you regularly meet with clients on your own business premises? Or do members of the public visit your premises for whatever reason? If they suffer any injuries while on your premises, then you may be liable for any compensation or legal costs that might follow.
- Damage to Personal Property – Management consultants will spend a lot of time visiting clients on their own premises. The smallest accident – such as spilling a cup of coffee on a client’s laptop – could result in extensive damages, for which you may be personally liable.
Other Risks Management Consultants May Face
- Business Contents – Would you still be able to run your business without your laptop, smartphone, tablet, or other tech? If any of your tech were damaged, lost, or stolen, would you be able to afford repairs or replacements? And would you be able to manage any lost business or income during your downtime?
- Commercial Buildings – You might work from home, or you might operate out of dedicated business premises. If anything were to happen to your place of business – such as a fire, a flood, or a break-in – would you be able to cover all the necessary repairs? And again, would you be able to manage any lost business or income while you wait for repairs?
- Personal Injury – A trip or a fall could put you out of action for weeks, or even months. You might face extensive medical bills, ongoing rehabilitation costs, and a lot of lost business. And because you’re a self-employed management consultant, you may not be able to rely on statutory sick pay.
So What Insurance Do Management Consultants Need?
- Professional Indemnity Insurance – This is essential cover for anyone who provides professional advice to clients. It will cover you for any claims in which a client feels as though they’ve made a financial loss as a result of following your advice. It’s such an indispensable insurance product that some clients may refuse to work with you unless you have adequate professional indemnity insurance in place. Learn more about professional indemnity insurance.
- Public Liability – If you bring clients, contractors, or other members of the public into your home or your business premises, public liability insurance will cover you for any accidents or injuries they may suffer during their visit. Learn more about public liability insurance.
- Employer’s Liability – If you employ any staff – even if it’s just a single employee – then you have a legal duty to get employer’s liability insurance. This will cover your employer’s for any accidents or injuries they may sustain on the job. Learn more about employer’s liability insurance.
- Buildings Insurance – This will cover your commercial premises for any costs associated with fire, flood, break-ins, and other insured events. Buildings insurance can also cover you for your liabilities if you rent commercial office space. Learn more about buildings insurance.
- Cyber Breach Response – We’re all at risk of cybercrime. This specialist insurance will cover you for the costs involved in investigating and fixing data breaches, including your ongoing obligations to notify anyone affected by the hack. Learn more about cyber insurance.
- Contents Insurance – This will cover you for any theft of, or accidental damage to, the equipment you use to do business, including your laptop and smartphone. Learn more about contents insurance.
- Personal Accident – This can give you a lump sum payment if you ever suffer an accident or injury either at work, or outside of the job. Learn more about personal accident insurance.
Tailored Cover For Management Consultants
At Tapoly, we offer flexible insurance policies for management consultants that you can adjust according to the needs of each individual contract. This can include up to £2 million of professional indemnity cover.
Head here for more information, and to get a free quote in minutes.
If you have any questions, or you’d like to discuss your options, you can contact the Tapoly team at email@example.com, call our info line on +44(0)207 846 0180, or use the chat box on our website.