When do I need to notify The Insurance Octopus of a potential claim?
You should let us know at the earliest opportunity if a client has a problem with your work which you think is likely to give rise to a claim against your business for compensation. In order to try and minimise the problem and avoid unnecessary legal costs and distress, it is important to take prompt action.
You should also let us know if you receive a complaint from a client or realise you have erred somewhere and can’t easily resolve the problem; if you receive a series of escalating complaints on a project; if a client withholds payment to you after a complaint, or if you become aware of a shortcoming in your work that you can’t put right easily.
It’s important to check the terms and conditions of your industry-specific indemnity policy for information on your notification requirements – take special note of if a late notification or failure to notify will cause adverse repercussions for your business such as withdrawal of insurance cover.