Travel Agent Professional Indemnity Insurance

Premiums typically range from $1,200 to $8,000 per year for small to mid-sized agencies depending on revenue, travel types, claims history and limit of indemnity selected. Larger agencies or those handling complex international travel may pay more. Request a free quote through Shielded for an accurate premium based on your business.

Some PI policies include an extension for supplier failure, covering losses when a recommended airline, hotel or tour operator fails to deliver contracted services. This is not standard on all policies, so it is important to check the wording or ask your broker to include this extension if it is relevant to your business.

Most small to mid-sized travel agents carry between $1 million and $5 million in PI cover. The appropriate limit depends on your revenue, average booking value, client volume and the complexity of itineraries you arrange. Agents handling high-value group or corporate travel should consider higher limits.

Yes. A travel agent PI policy covers claims arising from the professional services of all employees, directors and partners of the insured business. Independent contractors or subagents may also be covered depending on the policy wording, but this should be confirmed at the time of quotation.

Coverage for pandemic-related claims depends on the specific policy wording. Some insurers have introduced exclusions for communicable disease disruptions, while others cover claims where the agent provided negligent advice about cancellation rights or travel restrictions. Review your policy wording carefully and discuss any concerns with your broker.

Professional indemnity insurance covers claims arising from your professional advice and services, such as booking errors or negligent recommendations. Public liability covers claims for physical injury or property damage, such as a client tripping in your office. Most travel agents need both policies for comprehensive protection.

Most modern PI policies cover online booking activities, but older or more restrictive wordings may limit cover to face-to-face or telephone consultations. If you operate an online booking platform or provide advice via email and chat, confirm that your policy explicitly covers these channels.

Professional indemnity (PI) insurance protects professionals and businesses against claims arising from negligent acts, errors, omissions or breaches of professional duty in the provision of services or advice. It covers legal defence costs, settlements and damages awarded against you. PI insurance operates on a claims-made basis, meaning the policy in force when the claim is made responds - not the policy in force when the work was performed.

Any professional who provides advice, designs, recommendations or services to clients should carry PI insurance. This includes accountants, architects, engineers, lawyers, financial planners, mortgage brokers, IT consultants, real estate agents, builders, health practitioners, management consultants and many more. For many professions, PI insurance is mandatory under Australian legislation or industry body requirements.

PI insurance premiums depend on your profession, annual revenue or fee income, claims history, limit of indemnity required and the scope of services you provide. A sole practitioner consultant might pay $500 to $2,000 per year for $1M cover, while a mid-size engineering or accounting firm could pay $5,000 to $20,000+ for $5M to $10M cover. High-risk professions like financial planning or building design attract higher premiums.

PI insurance typically covers legal defence costs (solicitors, barristers, court fees), damages or settlements awarded to the claimant, investigation costs from regulatory bodies, breach of professional duty, negligent acts or omissions, unintentional breach of confidentiality, loss or damage to client documents, and defamation arising from professional activities. Cover extends to past work through retroactive dates.

Yes, for many regulated professions in Australia. Mandatory PI insurance requirements apply to solicitors, financial advisers (AFSL holders), mortgage brokers, accountants (registered tax agents), architects, building practitioners in most states, real estate agents, migration agents, customs brokers, and various health practitioners. Requirements vary by state and professional body - check your specific obligations.

Professional indemnity covers financial loss caused by your professional advice or services - for example, an accounting error that costs a client money. Public liability covers physical injury or property damage caused by your business operations - for example, a client tripping over a cable in your office. Most professionals need both, but they cover fundamentally different risks.

PI insurance operates on a 'claims-made' basis, meaning the policy that responds is the one in force when the claim is first made or notified - not the policy that was in force when the work was performed. This is why continuous, unbroken cover is essential. If you change insurers or let your policy lapse, you may lose cover for past work. Run-off cover is available for professionals who retire or close their practice.

The limit of indemnity you need depends on your contractual obligations, regulatory requirements and risk exposure. Many contracts require $1M, $2M, $5M or $10M minimum cover. Regulatory requirements vary by profession - for example, AFSL holders have specific minimums set by ASIC. Consider your largest client contracts and the potential financial impact of a claim when selecting your limit.

Contact us at Shielded Insurance on 1800 97 98 99 or your insurer directly. With PI insurance, early notification is critical - you must notify your insurer of any claim or circumstance that could give rise to a claim as soon as you become aware of it. Late notification can jeopardise your cover. Never admit liability or attempt to settle a claim without insurer approval.

We access a broad range of Australian domestic markets, specialist underwriting agencies and international capacity including Lloyd's of London syndicates. This allows us to place cover for standard professions through to complex or hard-to-place risks. As brokers, we compare multiple options to find competitive and suitable cover for your profession and risk profile.