25 June 2026

Professional indemnity insurance for marine trades

Bald man wearing a neon yellow safety vest and teal shirt smiles with arms crossed in an outdoor industrial setting.
By Malcolm Stewart Head of HKJ Commercial
Illustration of a man in a safety vest inspecting a boat with a clipboard, camera, and toolbox nearby.

What is Professional Indemnity?

Professional Indemnity is insurance cover that is designed to protect you for professional negligence as a result of advice or instruction you provide. It can also protect businesses involved in design and specifications for a contract.

The purpose of professional indemnity insurance is to protect you if you were sued in court for professional negligence resulting in a financial loss to your clients. It will cover the compensation awards and the defence costs.

This line of insurance works a little different to most insurance policies, it has a retroactive date applied. This means if you decide to move insurers or brokers make sure they are told the first day you purchased the cover and had continuous cover in force. It is important to ensure the retroactive date is known because the new insurer will take on the responsibility for any claims that occur from first date of purchase even if this many years ago. Professional indemnity claims are usually made after a contract has been fulfilled which can potentially be years down the line.

Do I need Professional Indemnity insurance?

If your business offers professional services which involve design, specifications or advice which could cause a financial loss then the simple answer is yes. Talk to your insurer or broker about what environments and or spaces your daily activities occupy for best advice on limits of indemnity to purchase ensuring your business remains protected.

Marine trades I would personally recommend to consider purchasing cover are, businesses involved with Surveying, Valuations, Condition Reports on vessels or moorings, boat brokerage, boat sales, gas and electric testing, Non Destructive Testing, fire safety examiners and naval architects.

Illustration of a person in a

Claim Examples

Illustration of a white yacht with a

Boat Sales & Boat Broker

Broker & Boat Sales representative brought in the facilitate the sale of a high value boat. Detailed information is given about the condition of vessel, maintenance, and seaworthiness. The Yacht is sold to a customer who discovers weeks later there is structural damage noted in a report by the purchaser’s boat surveyor to which the boat broker had failed to report on the description or not done enough due diligence prior to the sale. Boat broker is sued, the professional indemnity insurer would respond to the claim covering any defence costs and compensation awards within the indemnity limits purchased in the policy.

Boat Surveyor

Conducts an out of water survey for a person looking to purchase a vessel from their local boat brokerage, the surveyor reports that the vessel in good condition with no significant structural issues and the customer buys the boat from the brokerage. Months later the buyer discovers structural damage and severe corrosion. The buyer sues the Boat surveyor for negligence in their reports and seek financial compensation for the repairs and costs associated with craning and storage fees. The professional indemnity insurer would respond to the claim covering any defence costs and compensation awards within the indemnity limits purchased in the policy.

Illustration of a marine surveyor holding a clipboard and camera, ensuring compliance with marine trade policy.

Professional indemnity insurance isn’t just a “nice to have” – for many marine trades, it’s a key part of protecting both your business and your reputation. If your work involves giving advice, producing reports or playing a role in a transaction, the potential for claims can arise long after the job is done. Having the right cover in place helps ensure you’re supported if something does go wrong. If you’re unsure whether your business needs Professional Indemnity, or what level of cover is appropriate, it’s always worth having a conversation to make sure you’re properly protected.

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