31/03/2021
Hello 👋,
I know you as the best Insurance consultant.
Yesterday it was alleged that , a certain Radio personality sued his employer for ksh. 21M after he was terminated. on the other hand, it was alleged that the employer counter sued the said Radio Personality for ksh. 150,000,000 for among other reasons;
1. Breach of contract
2. Negligence
The question is, where will the said Radio personality get ksh. 150 Million? Is there an insurance cover for such risks?
MY RESPONSE
The answer is yes.
The insurance cover is known as PROFESSIONAL INDEMNITY INSURANCE COVER (PI). It is a Liability Insurance.
A professional indemnity (PI) insurance policy gives protection to
professional people in case of their legal obligation to compensate third parties who may experience injury or loss or damage to their property through the negligence of the professional person.
What is Covered?
professional indemnity (PI) also known as Errors and Omissions (E&O) insurance provides;
Financial protection (cost of defending claims and any damages payable) to the victims of the Professional in the event that their client suffers financial loss as a result of their alleged wrongful or negligent conduct. The cover also includes;
• Breach of professional duty
• Defamation
• Loss of documents
• Breach of confidentiality
• Dishonesty
• Disciplinary hearing
In conclusion, the said Ksh. 150 million counter claim will be borne by an Insurance Company based in Kenya without drama on condition that the said Radio Personality had such a cover.
