Specialist Liability Insurance
Liability insurance is a diverse and ever-growing field. Our extensive knowledge and our ethos of flexibility provide us with the skills to arrange risk solutions in diverse areas of liability insurance, which include:
Phoenix Risk Solutions identified a need for a product following think tanks with the Association of Construction Health and Safety Management. This was developed as a result of the increased awareness of health and safety professional indemnity requirements which emanated from changes to legislation regarding accreditation changes within the construction industry. Phoenix Risk Solutions has created a bespoke product for construction health and safety agents, managers and officers, all of whom are employed in the construction industry.
This is a unique risk solution in the form of a hybrid liability cover that incorporates general public liability insurance with professional indemnity and directors’ and officers’ liability insurance. The cover created will indemnify the health and safety practitioner on site in their professional capacity. Simultaneously, the company is also protected against potential negligence and damage claims.
Approval from the South African Council for the Project and Construction Management Professionals (SACPCMP) allows candidate practitioners to work as professionals during the lengthy accreditation process. As a result, during the accreditation process, both the candidates, the companies they are employed by and the SACPCMP have an exposure to liability risks in instances where candidate practitioners are deemed to have been negligent or where there is litigation. Cover is in place irrespective of whether a court rules the candidate practitioner caused damage or not.
As claims of this nature can be catastrophic for the parties concerned, this product is an important addition to our product offerings.
| Indemnity limit | Monthly premium | |
| Single Pr. CHSA | R5 000 000 | R276,26 |
| CHSM | R5 000 000 | R234,65 |
| CHSO | R5 000 000 | R206,92 |
Excess: R5 000 per event
| 2-5 employees | 35% of premium | |
| 6-10 employees | 45% of premium | |
| Greater than 10 | 60% of premium |
Given the hybrid wording that we have designed and the possible confusion as to the covers provided perhaps a brief explanation of each will assist.
This could arise where physical injury to persons or damage to property results from normal daily activities. For example, while on site, the Construction Health and Safety Officer knocks over an item that falls on to either persons or property below.
While this is very similar to general public liability, the primary difference is that this will cover pure financial losses as opposed to any injury or damage.
Professional indemnity cover is often referred to as errors and omissions cover and, by definition, may even arise where the insured has omitted to do something.
By way of example, the Construction Health and Safety professional could either erroneously advise his client or omit to advise him on a matter that may cause project delay and ensuing financial loss to the contractor, despite the fact that there was no actual injury or damage.
In the event that any of the company’s directors/managers/officers are sued in their personal capacity for not running the company properly, this policy would pay both the damages and legal costs. For example, stakeholders who could hold the management liable include, inter alia, SARS for non-payment of tax and employees who may lose their jobs.
Due to the specialised nature of this product, underwriters do require proposal forms to be completed.
These have been kept as simple as possible and you will note the document for the SACPCMP-registered construction health and safety agents is slightly longer than that for the individually registered SACPCMP construction health and safety managers and officers.
Professional Indemnity proposal form
Anton Krause – 082 447 0808 or anton@cynergysolutions.co.za
Paddy Herbert – 021 702 7960 or paddy@phoenixrisk.co.za
