Collegiate Underwriting – Committed to quality underwriting of Recruitment Consultants & Employment Agencies
As people are now more willing to turn to the law when dissatisfied with service, our work environment has become increasingly litigious. Our professional indemnity insurance indemnifies you from the legal liability and legal defence costs you may incur as a result of breaching a duty of care to your clients.
Some Recruitment consultants may accept responsibility for the actions and performance of a person they place, this is called Vicarious Liability. In effect the recruitment constancy is taking on liability as though the person they have found work is one of their own staff. This usually only applied where temporary staff are being placed. This obviously presents much more risk of a claim and underwriters will charge a higher premium as a result, they will also look much more closely at the nature of the role being filled.
If a recruitment consultancy is placing temporary staff and they do not wish to accept vicarious liability then careful attention needs to be payed to the contractual terms as they may be accepting this liability without realising it.
Where a recruitment consultancy does not accept this liability then you only need non-vicarious liability cover, this will cover things like misrepresentation and of not checking a candidates references, experience or qualifications. Claims may be for the costs of re recruiting. Occasionally issues can arise from sending a candidate CV to their current employer or defaming them in some way.
For a quotation
Please download and complete the proposal form on the right, or send a copy of your current insurer’s proposal to [email protected]. If you prefer to speak to the team please call us on 020 7459 3456.
- Direct contact with the underwriter
- Broad civil liability cover – should a claim arise from a breach of professional duty, perhaps by giving incorrect advice or making an error in your work then anything that isn’t specifically excluded is covered
- Cover for loss of documents, up to the full limit of indemnity
- Cover for fidelity
- Compensation for court attendance
- Industry leading claims service
- A-(Excellent) policy security
All PI Insurance is on a claims made basis, that means you must have an active PI policy at the time a claim or allegation is made against you. It is important to remember that once a PI policy expires you can no longer make any claims against it. Therefore you need to consider maintaining your PI insurance once you cease trading. This is called Runoff Insurance and provides protection against any claims which may arise from work you undertook in the past.
Some professional Institutions require their members to carry Runoff insurance.