The dying moments of an electric football match. With teams tied at one goal each, England’s David Beckham is not on the field. He has twisted his ankle while fighting for the possession of the football. The physical trainer says he may have torn his calf muscle but the seriousness of the injury can be only ascertained after the x-ray at hospital. The doctor says that he won’t be able to play competitive football for two months...
Incidents such as this are not rare in the life of a professional, though it may vary according to your profession but a slightest slip can put you in trouble. This is when your expertise becomes your nemesis. For those not in the know, today there are different types of insurance covers available for professionals in India.
Taking a professional cover may come handy in difficult situations. Private insurance companies such as ICICI Lombard, Bajaj Allianz, and public sector general insurance companies such as Oriental, New India Assurance, National India & United India have different policies for professionals. Here is an insight on how and why to opt for one.
Insurance for CAs, Financial Accountants, Management Consultants, Lawyers, Advocates, Solicitors, Counsels
This policy indemnify the insured in respect of errors and omissions on the part of the accountants (CAs, financial accountants, management consultants,) lawyers (advocates, solicitors, counsels), his named employees, partners while rendering professional services. “With a personal indemnity, you will not only be able to protect your business against compensation sought, but will also be able to cover any legal costs,” says a senior National India official.
The exclusions include any liability arising out of any criminal act or act committed in violation of any law or ordinance, services rendered while under the influence of intoxicants or narcotics, intentional non-compliance of statutory provisions etc.
Insurance for consulting engineers, architects & interior decorators
This policy underwrites professionals for all sums they become legally liable to pay to their clients as — material damage, that is, destruc-tion, damage, loss to a tangible property, construction damage, wrong planning done by the insured, and death, bodily injury attributable to error. The exclusions remain more or less similar to the above cover. Manoj Agarwal, head - insurance, SKP securities has a different view on insurance for professionals. He says: “The consumers are not aware of these products.
Moreover, the product is designed for professionals who have a busy lifestyle, so they often overlook such insurance policies because they feel it’s complicated. Before choosing an insurance cover you must also go through the terms and conditions. On the face of it these policies may look good but the cover you’ll get is for so extreme circumstances, which may never occur in your professional life.”
Insurance for doctors and medical practitioners
This product is especially designed for general practitioners and specialists, who are registered with Indian Medical Association (IMA). This policy protects medical practitioners for claims arising or is alleged to have arisen out of an act, error, omission or negligence in the terms of professional services. It also provides cover for the charges incurred in defending the case.
Says Anuj Tyagi, national manager — reinsurance & liability business group, ICICI Lombard: “The personal insurance (life, health) covers the individual for life and illness whereas professional indemnity insurance covers loss on account of negligence act done by individual while rendering professional services to third party, for instance, any negligence act done by doctor causing loss to patient. Hence, we can say personal insurance covers the individual whereas professional indemnity covers the professional services rendered by an individual”
There are also policies available in the market for doctors, which provide cover in case of any injury or mishap to their vital body organs such as hands, eyes, etc. The idea is to provide protection to the skills that doctor uses while performing his work.
Insurance for sportspersons
This policy is a comprehensive cover available to amateur sportspersons that provides cover not only against bodily injury while practicing the sport but also the sporting gear. In some cases, the companies also provide protection to the members of the sportsperson’s family residing with him. The exclusions include breakage of cricket bats, racquet strings, angling lines; loss or damage arising from moth, and others. It is advisable for you to go through the terms & conditions carefully since it differs from company to company.
“It’s a nascent market. With customer education on top of the agenda now, the ambit of these policies is only going to expand. For a sportsperson, it is one policy that is a must since they are prone to injuries. For instance, if a bowler breaks his finger and it is amputated, his career is over. He won’t be able to bowl anymore.
This special policy provides cover to the risks that any normal sportsperson will encounter while playing,” says Rahul Agarwal, CEO, Optima Risk Managment Services. In all the policies, the premium charges differ from case to case and depend upon the experience, area of exposure (specialisation as well as geographical exposure), etc. Typically, the costs are Rs 60 to Rs 100 per lakh insured.
Incidents such as this are not rare in the life of a professional, though it may vary according to your profession but a slightest slip can put you in trouble. This is when your expertise becomes your nemesis. For those not in the know, today there are different types of insurance covers available for professionals in India.
Taking a professional cover may come handy in difficult situations. Private insurance companies such as ICICI Lombard, Bajaj Allianz, and public sector general insurance companies such as Oriental, New India Assurance, National India & United India have different policies for professionals. Here is an insight on how and why to opt for one.
Insurance for CAs, Financial Accountants, Management Consultants, Lawyers, Advocates, Solicitors, Counsels
This policy indemnify the insured in respect of errors and omissions on the part of the accountants (CAs, financial accountants, management consultants,) lawyers (advocates, solicitors, counsels), his named employees, partners while rendering professional services. “With a personal indemnity, you will not only be able to protect your business against compensation sought, but will also be able to cover any legal costs,” says a senior National India official.
The exclusions include any liability arising out of any criminal act or act committed in violation of any law or ordinance, services rendered while under the influence of intoxicants or narcotics, intentional non-compliance of statutory provisions etc.
Insurance for consulting engineers, architects & interior decorators
This policy underwrites professionals for all sums they become legally liable to pay to their clients as — material damage, that is, destruc-tion, damage, loss to a tangible property, construction damage, wrong planning done by the insured, and death, bodily injury attributable to error. The exclusions remain more or less similar to the above cover. Manoj Agarwal, head - insurance, SKP securities has a different view on insurance for professionals. He says: “The consumers are not aware of these products.
Moreover, the product is designed for professionals who have a busy lifestyle, so they often overlook such insurance policies because they feel it’s complicated. Before choosing an insurance cover you must also go through the terms and conditions. On the face of it these policies may look good but the cover you’ll get is for so extreme circumstances, which may never occur in your professional life.”
Insurance for doctors and medical practitioners
This product is especially designed for general practitioners and specialists, who are registered with Indian Medical Association (IMA). This policy protects medical practitioners for claims arising or is alleged to have arisen out of an act, error, omission or negligence in the terms of professional services. It also provides cover for the charges incurred in defending the case.
Says Anuj Tyagi, national manager — reinsurance & liability business group, ICICI Lombard: “The personal insurance (life, health) covers the individual for life and illness whereas professional indemnity insurance covers loss on account of negligence act done by individual while rendering professional services to third party, for instance, any negligence act done by doctor causing loss to patient. Hence, we can say personal insurance covers the individual whereas professional indemnity covers the professional services rendered by an individual”
There are also policies available in the market for doctors, which provide cover in case of any injury or mishap to their vital body organs such as hands, eyes, etc. The idea is to provide protection to the skills that doctor uses while performing his work.
Insurance for sportspersons
This policy is a comprehensive cover available to amateur sportspersons that provides cover not only against bodily injury while practicing the sport but also the sporting gear. In some cases, the companies also provide protection to the members of the sportsperson’s family residing with him. The exclusions include breakage of cricket bats, racquet strings, angling lines; loss or damage arising from moth, and others. It is advisable for you to go through the terms & conditions carefully since it differs from company to company.
“It’s a nascent market. With customer education on top of the agenda now, the ambit of these policies is only going to expand. For a sportsperson, it is one policy that is a must since they are prone to injuries. For instance, if a bowler breaks his finger and it is amputated, his career is over. He won’t be able to bowl anymore.
This special policy provides cover to the risks that any normal sportsperson will encounter while playing,” says Rahul Agarwal, CEO, Optima Risk Managment Services. In all the policies, the premium charges differ from case to case and depend upon the experience, area of exposure (specialisation as well as geographical exposure), etc. Typically, the costs are Rs 60 to Rs 100 per lakh insured.