The Committee for Capacity Building of CA Firms and Small & Medium Practitioners, ICAI ( CCBCAF & SMP ) has taken a major step for arranging Insurance cover against Professional Indemnity through New India Assurance Co. Ltd., Mumbai.
An MOU has been signed by ICAI with New India Assurance Co. Ltd., on the 10th February 2011, extending facility for insurance against professional indemnity members and CA Firms.
The Insurance policy covers the entire sum for which an insured professional becomes legally liable to pay to the third party as loss, damages, any error. Legal cost and expenses incurred in defense of the case,with the prior consent of the insurance company, are also payable, subject to the overalllimit of indemnity selected.
Only civil liability claims are covered. Any liability arising out of any criminalact or act committed in violation of any law or ordinance is not covered.
The details of the Scheme can be downloaded http://126.96.36.199/22415announ12793.pdf