Professional and legal liability insurance


Professional and legal liability insurance can help protect a charity, non-profit, or not-for-profit organisation’s balance sheet in the event of claims against and investigations into it.

Risks against such organisations can be varied - from an official investigation to a tax violation claim. Get help with the potential costs of defending or settling these.


To get a quote, call:

0808 2736 570

Mon-Fri, 9am-5pm.

 

Need cover for a limited company?
Corporate legal liability insurance offers similar protection for your for-profit business. 
Find out more.

 

Why choose Hiscox for your professional and legal liability insurance?


1

Platinum insurer

We insure over 400,000 businesses*. We’ve also won the Feefo Platinum Trusted Service award for consecutive years.

*based on the number of policies sold in 2023

2

Risk management portal included

Get free access to the online Hiscox Risk Academy when you take out this insurance. Explore training, document templates and more. 

3

Business HR Solutions

You can buy discounted Business HR Solutions for expert resources and advice when you take out this insurance. 


Professional and legal liability insurance is a type of cover for charities, non-profit or not-for-profit organisations and sits within our management liability portfolio.

It covers the organisation, rather than its individual leaders, in the event of claims of or investigations into alleged wrongdoing. These include but are not limited to regulatory investigations, HMRC inspections, or allegations from another charity.  

A not-for-profit organisation or a private company is technically called an ‘entity’. So, this cover is also referred to as entity liability insurance or entity defence insurance.  


To get a quote, contact us on 0808 2736 570
Mon-Fri, 9am-5pm.  


You may feel you need professional and legal liability insurance if you run a not-for-profit organisation and believe it would struggle to meet the costs of defending or settling claims made against it.  

  • Examples of potential claims and investigations:
  • Health and Safety Executive (HSE) inspection
  • Charity Commission investigation into breaches of trust
  • HMRC investigation into taxation guideline breaches.

It also includes some employee dishonesty cover. Professional and legal liability insurance isn’t a legal requirement in the UK. However, you may find the cover provides added peace of mind.   


The amount of cover you’ll need depends on what you do and the type of risks you could face.

The size of your charity, non-profit or not-for-profit organisation can be significant, too. For example, a large charity with an international presence may face higher-value claims or investigations. In this instance, setting higher indemnity limits could be reassuring.

At Hiscox, we can cover your organisation for from £100,000 to £10 million.  


It can help cover your organisation (entity) for claims and/or investigations arising from:

  • Breaches of duty, trust, negligence or warranty of authority  
  • Breaches of corporate manslaughter and/or health and safety laws  
  • Failure to comply with tax guidelines.  

We will also pay for:

  • Investigations under corporate manslaughter law and/or health and safety law  
  • Costs to reduce the likelihood or consequence of an investigation, including those undertaken by the Charity Commission
  • Costs of making a compulsory notification to an official body    
  • Financial losses over employee dishonesty (other than directors, partners or officers).    

Please refer to the policy documents for the full details of inclusions and exclusions of this cover. Policy documents are available when purchasing online. You can also contact our customer services team for more information. 


It does not cover claims, losses or investigations arising from:

  • Dishonest or fraudulent acts against or suffered by you where the act was committed or condoned by any senior leaders of the organisation  
  • Defamation  
  • Requirements to clean up pollution  
  • Situations that occur following your acquisitions, merger or take-over  
  • Wrongful employment termination, breach of employment contract or mistreatment of employees, current or former  
  • Bodily injury or property damage, other than in relation to a breach of corporate manslaughter law and/or health and safety law.

Please refer to the policy documents for the full details of inclusions and exclusions of this cover. Policy documents are available when purchasing online. You can also contact our customer services team for more information. 


What is the difference between professional and legal liability insurance and trustee liability insurance?

Both are cover types for charities or non-profits. However, who and what they cover differs. Professional and legal liability insurance covers the entire organisation (entity), while trustee liability insurance covers claims made personally against key individuals within the organisation.

What’s the difference between professional and legal liability and corporate legal liability insurance?

Both provide cover for the entire organisation. However, professional and legal liability insurance is designed for not-for-profit organisations. Meanwhile, corporate legal liability insurance offers for-profit companies protection.

Are charities and other not-for-profit organisations legally required to have insurance for volunteers?

Yes, employers’ liability insurance is usually a legal requirement (external link) when you take on staff, including volunteers (external link). Although not legally required, employment practices liability insurance is also available for charities to cover claims from prospective, current or former employees and volunteers.

How much does professional and legal liability insurance cost?

Business insurance costs start at £8.40* per month with Hiscox. The precise cost of professional and legal liability insurance depends on how much cover you buy.  

*Figures based on an average of all business insurance policies sold to at least 10% of our customer base between January 2023 and January 2024

How can I pay for professional and legal liability insurance?

With Hiscox, you can pay for this insurance via:  

  • Debit card
  • Monthly or annual direct debit.  

If you need to change your policy, we don’t charge admin fees.