Professional Indemnity Insurance Renewal: What Accountants Should Check Before You Renew
For many accounting firms, professional indemnity (PI) insurance renewal is something that happens automatically each year. A reminder lands in your inbox, you confirm the details, and move on to the next task.
While that convenience is valuable, renewal time is also your best opportunity to make sure your cover still fits your practice — and that you’re not exposed to unnecessary risk.
With most renewals occurring between March and April, now is a good time to review a few key areas before you click “renew”.
1. Has Your Practice Changed in the Past 12 Months?
Even small changes can affect your insurance cover. Before renewing, consider whether you’ve:
Added new services or advisory work
Taken on additional staff or contractors
Increased revenue or client complexity
Moved further into cloud-based or remote work
If your policy hasn’t been updated to reflect these changes, you may find certain activities aren’t fully covered if a claim arises.
A quick review now can prevent problems later.
2. Does Your Cover Still Meet Professional Body Requirements?
Most accountants must maintain PI insurance that meets the requirements of their professional body or regulator.
At renewal time, it’s important to confirm:
Your sum insured still meets minimum requirements
Your policy wording remains compliant
Any exclusions or endorsements haven’t changed unexpectedly
Relying on last year’s settings without checking can leave gaps — particularly as requirements evolve over time.
3. Are You Relying on PI Alone to Cover Cyber Risk?
One of the most common misconceptions among small practices is assuming professional indemnity insurance covers cyber incidents.
In most cases, it doesn’t.
PI insurance generally responds to claims arising from professional advice or services. Cyber incidents — such as data breaches, ransomware, or email compromise — often require separate cyber insurance.
If your firm handles client data, uses cloud software, or works remotely, reviewing cyber cover at renewal is becoming essential, not optional.
4. Is Your Renewal Process Clear and Stress-Free?
Late renewals can create real risk. If your policy lapses — even briefly — you may be uninsured during that period.
A well-managed renewal process should offer:
Clear reminders before expiry
Simple confirmation of details
Minimal paperwork
Confidence that cover continues without interruption
If renewal feels rushed or unclear, that’s often a sign the process could be improved.
5. Are You Paying for What You Actually Need?
Renewal is also a chance to sense-check value. Many small practices are cost-conscious, but price alone shouldn’t be the deciding factor.
The right balance is:
Cover that meets compliance requirements
Protection that reflects how you actually operate
Pricing that’s fair, transparent, and predictable
Bundling cover (such as PI and cyber) can often simplify administration and improve overall value.
A Smarter Way to Renew
At Abacus Australia, we work with small accounting firms who want insurance that’s:
Compliant
Easy to renew
Designed for how small practices actually operate
Renewal shouldn’t be a source of stress. With the right structure and support, it becomes a straightforward annual check-in — and one less thing to worry about during a busy year.
