Of all types of business currently taking out professional indemnity (PI) insurance, IT consultants and contractors are possibly the most likely to need cover. This is because the IT industry is particularly complex and precarious when it comes to making mistakes.
The most common issues IT consultants and contractors are sued over include:
• Software/hardware/systems failing to be fit for purpose (not suitable for the jobs they were intended for)
• Failure to deliver systems on budget or on time
There are many other complex disputes potentially facing IT professionals besides these, affecting areas such as project management, website development and design, IT recruitment, internet service providers and outsourcing work.
As an IT professional, you can be sued by a client if they have suffered a loss or setback due to the service you provided. Whilst the client tries to claim back their money in the form of damages or compensation, you will have to exhaust your finances fighting your side of the dispute.
To ensure a fair and satisfactory outcome with your finances intact, the safest option is always a comprehensive and personally tailored professional indemnity policy.