Continuing our series on the IFA’s guide to Professional Indemnity insurance, Daniel West of Apex Insurance looks at the implications of Covid-19 on adviser firms’ insurance considerations.
With the effects of the global coronavirus pandemic hitting individuals and businesses across the UK, the impacts are very wide ranging indeed. Some of these changes to working practice have implications for advisers when it comes to the question of insurance. This month, we attempt to highlight some of the key areas that you should consider within your advice business.
The potential impact on professional indemnity insurance renewal timeframes
In our previous article for IFA Magazine on the subject of PI insurance, we highlighted the importance of starting your renewal process early due to the change in market conditions. Now, with the government attempting to combat the spread of Covid-19, like all businesses across the country, insurance brokers and insurance carriers are making the decision to have their staff work from home wherever possible. This will certainly add further complications to the renewal process for PI insurance, so please begin reviewing your insurance as soon as possible.
Potential cyber and data claims for professionals in respect of covid-19
There is a potential GDPR risk in respect of employees working from home. With many staff working from home during the coronavirus pandemic, it raises the important question for advice businesses as to what security measures should your organisation have in place for this process?
On this matter, we defer to The ICO (Information Commissioner’s Office) response via their official website (ICO.org.uk). The warning there is as follows:
‘Data protection is not a barrier to increased and different types of homeworking. During the pandemic, staff may work from home more frequently than usual and they can use their own device or communications equipment. Data protection law doesn’t prevent that, but you’ll need to consider the same kinds of security measures for homeworking that you’d use in normal circumstances.’
Criminals are disguising themselves as the World Health Organisation (WHO) to steal money or sensitive information.
If you are contacted by a person or organisation that appears to be from WHO, verify their authenticity before responding.