Although digital technology can drive us all mad at the best of times, one of the great things about it is geographical limits are eliminated – the world is your oyster, so they say!!
Insurance has kept up with this and many Professional Indemnity insurance policies can provide cover for work carried out all over the world…………except for the USA and Canada. You increase your chances of facing legal action if you do business with companies based in the USA.
Therefore, many insurance companies do not cover the USA as standard and not many will provide the cover required to meet US legislation.
You can get insured……it will just be quite a bit more expensive.
The increase in premium takes into account the higher risk of a claim, along with the cost of having to appoint and monitor legal people ‘over the pond’ which is an additional cost to the insurance company involved.
If you don’t want to pay this extra premium, you can try and get your USA or Canadian client to sign ‘your’ contract rather than you putting your signature on theirs. That way, you are creating a UK based contract with UK terms and conditions.
It sounds like a small point but this can make a massive difference should legal action take place, as it will take place through a UK court.
As with everything in insurance, the devil is in the detail.
Should you need any further advice or help on this, please contact me on firstname.lastname@example.org